The government has launched its Modern Workplaces consultation on plans to introduce a new system of flexible parental leave from 2015.
Under the proposals, once the early weeks of maternity and paternity leave have ended, parents will be able to share the overall leave allowance between them.
Unlike the current system, this leave could be taken in a number of different blocks and both parents could take leave at the same time.
Employers would have the ability to ensure that the leave must be taken in one continuous period if agreement can not be reached.
They will be able to ask staff to return for short periods to meet peaks in demand or to require that leave is taken in one continuous block, depending on business needs.
The consultation seeks to build a new consensus around greater flexibility, which also includes plans to extend the right to request flexible working to all employees.
Proposals around flexible parental leave include: 18 weeks maternity leave and pay in one continuous block around birth; four weeks of parental leave and pay exclusive to each parent to be taken in the first year; and 30 weeks of additional parental leave available to either parent, of which 17 weeks would be paid and can be broken in blocks between parents.
Proposals around flexible working include: extending the right to request for all workers who have been with their employer for 26 weeks; the government will consider publishing a statutory Code of Practice for businesses and will propose that employers should be allowed to take into account employees individual circumstances when considering conflicting requests; there are no plans to alter the current eight business reasons for a business to turn down a request; and non-legislative measures are being developed to promote flexible working opportunities both for those with a job and for those looking for one.
Proposals around equal pay include that employment tribunals that have found an employer to have discriminated on gender in relation to pay, will order the employer to conduct a pay audit and publish their results, except in some circumstances, such as where an audit has already been conducted.
Vince Cable, business secretary, said: “Our proposals will encourage greater choice by giving employees and their employers the flexibility to find arrangements to suit them both.
“New parents should be able to choose their childcare arrangements for themselves, rather than being dictated to by rigid government regulation as is currently the case. And employers should be encouraged to come to agreement with employees on how work and family responsibilities can be met simultaneously.
“These measures are fairer for fathers and maintain the existing entitlements for mothers but crucially give parents much greater choice over how to balance their work and family commitments.
“Of course I’m mindful of the need to minimise the costs, bureaucracy and complexities on businesses. This has been at the forefront of my mind throughout the development of our proposals. So we will ensure that businesses will still be able to take into account their needs when agreeing how leave can be taken.
“But I’m also confident that we have a good case to make on the wider benefits to business, not least from a motivated and flexible workforce and we will be making this case to employers over the next few years before these changes are introduced.”
Theresa May, home secretary and minister for women and equalities, said: “Britain’s workplace laws are in need of modernisation. We have made great strides in addressing explicit discrimination in the workplace, but disadvantage persists.
“The solution to these challenges, though, is not more bureaucracy, top-down intervention and politically correct quotas, but policies that go with the grain of human nature and maximise flexibility and choice.
“That is why we will extend the right to request flexible working to all and introduce a new system of flexible parental leave both of which will contribute to our commitment to closing down the gender pay gap.
“But where there is evidence of discrimination we will punish it, so we will introduce mandatory pay audits for companies that are found guilty of pay discrimination.”
Maria Miller, work and pensions minister, said: “For far too long flexible working has been dismissed as a burden on business, when in fact the most successful businesses understand the important role it can play in recruiting and retaining the right staff.
“We need to move flexible working away from being the exception, to being considered a normal way to work.”
Read more articles on flexible working arrangements
Working Families has long campaigned for the right to request flexible working to be available to all employees.
Many good employers already offer flexible working rights to all employees. Where employment relations are good, employees do not need to resort to statutory rights. But the law provides a useful backstop when employers say ‘no’ without considering a request.
Improved guidance would be helpful but replacing statutory duties with a code of practice needs careful handling.
There is a danger that employees’ rights are watered down while employers face less certainty, with judges, not government, deciding whether their response to a request for flexible working is reasonable.
We welcome further reform of parental leave arrangements and in particular more rights for fathers. We welcome the proposal that parents could use their leave to work part-time to ease the return to work after a new baby is born. This would benefit employers too if employees return to work sooner, but on a less than full-time basis.
We welcome the principles and ambitions behind these proposals. The phrase work-life balance assumes that there is a clear and impermeable divide between work and life.
In reality, working lives and home lives overlap in today’s world to a greater degree than ever before.
At the same time, traditional gender roles in relation to parenting are changing. That fact has been recognised, but not resolved, by policymakers and business leaders alike. And it is important in the context of this consultation.
Done right, these proposals offer the prospect of removing state-sponsored obstacles to those already noticeable long-term cultural changes, in a way that levels the playing field for talented, ambitious, successful women who also choose, with their partners, to become parents.
We retain some concerns about the workability of some of the details of the proposals in the consultation document as they currently stand.
We believe that parents should be required to take leave in reasonable blocks of time, no shorter than two weeks, if the employer is not to be subjected to unreasonable burdens.
We will continue to work with the Department for Business, Innovation and Skills through the consultation process, closely involving our members, to ensure that the final proposals are clear, simple and workable, and achieve their objectives.
The absolute priority for the country today is to grow businesses and create jobs. This is how we will judge the merits of these proposals as we consult with organisations.
Employees and employers often informally agree working patterns that suit both parties and the government is right to look at ways of encouraging this by removing unnecessary bureaucracy.
Parental leave should be open to both parents, be simple to administer and allow employers to reject complex patterns of leave.
We are concerned by proposals to increase the total period of parental leave by another four weeks, given the UK already offers some of the most generous provisions in the world.
Employment tribunals were designed to settle disputes between individuals and employers, so a proposal to allow them to order equal pay audits across an entire firm is disproportionate and risks introducing class actions by the back door.
An equal pay audit is a blunt instrument which often fails to address the complex causes of the gender pay gap.
While the Chartered Institute of Payroll Professionals (CIPP) recognises that the government wants to ensure greater flexibility for working parents these proposals cause us some concern.
The payroll and HR professions have spent money on their software and contractual changes to implement the regulations that came into force on 3 April, and now it appears they are going to have to go through the process prior to 2015.
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