Review of parental leave and pay
It is currently anticipated that the review will report its conclusions and make recommendations in January 2027.
- Action
Keep a watch on progress and how this impacts current parental policies.
- In detail
- The government's review will look at the whole system of parental leave and pay including maternity and paternity leave, unpaid parental leave, shared parental leave, adoption leave etc.
- At present, the government has issued an initial call for evidence to ensure that the review focuses on the right issues.
- Impact
Statutory paternity and unpaid parental leave will become day one rights
Paternity leave and unpaid parental leave will become day one rights and the current restriction on taking paternity leave before shared parental leave (otherwise the entitlement to paternity leave and pay will be lost) will be removed.
Implementation Status
- Part of the Employment Rights Bill
- Regulations will be required to amend existing statutory regulation and implement the reforms
- Expected to come into force April 2026.
- Action
Managers will need to be made aware of and receive training on the changes, including managing a potentially larger number of leave requests, particularly in relation to unpaid parental leave around peak times e.g. school summer holidays. Policies and procedures will need to be amended.
Employers should follow the review on parental leave and carers leave closely to see how closely their current policies align and anticipate where future changes may be needed.
Employers may wish to consider now how they can support kinship carers, particularly with an older workforce who may be grandparents or other relatives/carers supporting young people. It has been indicated that this may form part of the government's wider review of the parental leave system.
- In detail
Paternity leave will become a day one right. At present employees must have been employed for 26 weeks (as at 15 weeks before the expected week of childbirth). Employees will also be able to take paternity leave and pay even after the have take a period of shared parental leave and pay.
Unpaid parental leave will become a day one right. At present employees must have one year's service.
The House of Commons Women and Equalities Committee has launched an inquiry to examine options for reform of paternity and shared parental leave (SPL). In a Call for Evidence it has specifically requested submissions on:
- The extent to which SPL has given parents' choice and flexibility in how they share parenting responsibilities
- The longer-term equality impacts and labour market impacts of SPL, particularly for women
- Reasons for low take-up of SPL and possible solutions
- Addressing inequalities in SPL take-up (including inequalities related to ethnicity, income, education and occupational status)
- Alternatives to the current "maternal transfer" model of SPL
- Lessons from other countries.
The government has stated that it will also review the implementation of carer's leave and consider whether there is a need to change the current approach, together with the benefits of introducing paid carer's leave.
The government has indicated that kinship carers (who care for children who cannot live with their parents) will be included in the review of the parental leave system.
- Impact
At present, only employees with one year's service, have a right to take unpaid parental leave per year of up to four weeks per year (subject to maximum of 18 weeks in total) in respect of children under the age of 18.
To take two weeks' statutory paternity leave, employees need 26 weeks' service, ending with the week immediately before the 14th week before the expected week of childbirth (or the week in which an adopter is notified of a match).
Where an employee is entitled to both paternity leave and pay and shared parental leave and pay, the paternity leave and pay must be taken before the shared parental leave and pay (otherwise their entitlement to paternity leave and pay is lost).
The government wishes to align paternity leave with other family leave entitlements (such as maternity and adoption leave); "simplifying" the system and facilitating "better employer and employee understanding of parental rights", as well as ensuring that these factors do not restrict job mobility. Removing the restriction for paternity leave to be taken before shared parental leave will also provide greater flexibility for employees to take advantage of the different types of leave available.
The qualifying service requirements for statutory pay in respect of leave will remain.
Statutory right to unpaid bereavement leave
A new statutory right to unpaid bereavement leave will be introduced.
Implementation Status
Part of the Employment Rights Bill.
There will be consultation on regulations to provide the detail on unpaid bereavement leave.
An amendment to the Bill which we understand has government support will also bring pregnancy loss into the scope of the new statutory provisions.
"The majority of reforms will take effect no earlier than 2026".
- Action
This new bereavement leave right will need to be considered in light of any existing compassionate leave policy. A new policy may need to be drawn up or existing policies amended.
Managers should be trained to ensure they are aware of the new right and how it sits with any existing compassionate leave policy and the existing statutory leave for bereaved parents of a child.
- In detail
Employees will have a new statutory right to unpaid bereavement leave. Regulations will specify the qualifying relationships, the minimum period of leave (at least one week), and also the period in which the leave must be taken (which must extend to at least 56 days after the person's death). This will be a day one right.
Parents will still be able to rely instead on the existing statutory right to two weeks paid parental bereavement leave following the death of a child under 18 or a still birth.
The government has also indicated that it supports a proposed amendment to the Bill to entitle employees in the event of a pre-24 week pregnancy loss to also take up to two weeks' statutory bereavement leave and pay.
The existing protections on the employee's right not to be subjected to a detriment or dismissal for reasons relating to taking statutory bereavement leave on the death of a child will be extended to this wider right.
- Impact
Employees currently have a day one right to take two weeks' bereavement leave if a child under the age of 18 dies (and those with 26 weeks service, ending with the week before the child died, are also entitled to receive statutory parental bereavement pay). Employees taking parental bereavement leave are also protected from detriment and dismissal. However, there is no general right to take bereavement leave outside of this (for example, when a spouse, parent or sibling dies), unless an employer operates its own compassionate leave policy or the employee can benefit from the statutory right to a reasonable time of unpaid dependants leave to deal with an emergency.
There is an existing statutory right to "reasonable" unpaid time off for dependants but, while this would cover an immediate emergency following death, it "does not permit a person to take time off to grieve or recover from the mental impact of their bereavement". Annual leave is also not always available.
It is suggested that utilisation of this new statutory right may be low given that it is unpaid and, under the government's proposals, bereaved employees who are signed off sick will be entitled to statutory sick pay from day one of absence.
Statutory right to unpaid bereavement leave
The government has indicated that it supports a proposed amendment for bereavement leave for mothers and partners who experience pregnancy loss before 24 weeks.
Implementation Status
- Part of the Employment Rights Bill
- Amendment to the bill has brought early pregnancy loss into scope of the new statutory provisions
- Consultation expected autumn 2025
- Expected in force 2027.
- Action
- This new bereavement leave right will need to be considered in light of any existing compassionate leave policy. A new policy may need to be drawn up or existing policies amended.
- Managers should be trained to ensure they are aware of the new right and how it sits with any existing compassionate leave policy and the existing statutory leave for bereaved parents of a child. Care will need to be taken in exercising the new right so that employees do not feel that they are under pressure not to utilise it and sensitivity and confidentiality will be particularly required in light of the extension of the right to cover losses after less than 24 weeks of pregnancy, particularly where a manager and the wider team may be unaware.
- In detail
- Employees will have a new statutory right to unpaid bereavement leave. Regulations will specify the qualifying relationships, the minimum period of leave (at least one week), and also the period in which the leave must be taken (which must extend to at least 56 days after the person's death). This will be a day one right.
- Parents will still be able to rely instead on the existing statutory right to two weeks paid parental bereavement leave following the death of a child under 18 or a still birth.
- Amendments have been proposed entitling employees in the event of a pre-24 week pregnancy loss to also benefit from this new right to unpaid leave.
- The existing protections on the employee's right not to be subjected to a detriment or dismissal for reasons relating to taking statutory bereavement leave on the death of a child will be extended to this wider right.
- Impact
• Employees currently have a day one right to take two weeks' bereavement leave if a child under the age of 18 dies (and those with 26 weeks service, ending with the week before the child died, are also entitled to receive statutory parental bereavement pay). Employees taking parental bereavement leave are also protected from detriment and dismissal. However, there is no general right to take bereavement leave outside of this (for example, when a spouse, parent or sibling dies), unless an employer operates its own compassionate leave policy or the employee can benefit from the statutory right to a reasonable time of unpaid dependants leave to deal with an emergency
• There is an existing statutory right to "reasonable" unpaid time off for dependants but, while this would cover an immediate emergency following death, it "does not permit a person to take time off to grieve or recover from the mental impact of their bereavement". Annual leave is also not always available.
• It is suggested that utilisation of this new statutory right may be low given that it is unpaid and, under the government's proposals, bereaved employees who are signed off sick will be entitled to statutory sick pay from day one of absence. However, the extension of the right to pre-24 week pregnancy loss will capture miscarriages (many of which will happen within the early weeks of pregnancy) and also unsuccessful IVF transfers and abortions. These matters will need to be dealt with sensitively.
