In the UK, the law surrounding parental leave is set to undergo significant changes with the introduction of the Neonatal Care (Leave and Pay) Act 2023, which is coming into effect on 6th April 2025. This new legislation aims to offer greater support to parents of newborns who require neonatal care. In this article, alongside our podcast, Janey Rankin, an employment solicitor and Rachel Makore, a medical negligence solicitor, break down the key elements of the Act and explore its implications for parents, families, and employers. We will also discuss the broader context of employment law affecting parents and caregivers, helping to raise awareness of vital protections and rights. The Neonatal Care (Leave and Pay) Act For parents, particularly those whose babies are born prematurely or with health issues requiring specialised care, the emotional, physical, and financial strains are often overwhelming. The Neonatal Care (Leave and Pay) Act is a step in the right direction in addressing this issue by granting parents more time to be with their newborns during this critical period, without the added worry of losing income or facing workplace discrimination. Key provisions of The Neonatal Care (Leave and Pay) Act The Act grants eligible parents up to 12 weeks of paid leave when their baby is admitted to neonatal care. The leave starts from the date the baby is admitted to the hospital and is intended to help parents spend more time caring for their child during this critical time. It’s important to note that this new entitlement is not just for mothers, fathers, partners, and other qualifying family members can also benefit from this leave. The Act is gender-neutral and recognises the need for both parents (and other key family members) to be present for the well-being of their child. The Neonatal Care (Leave and Pay) Act To qualify for neonatal leave and pay, the following criteria must be met: The baby must be admitted to neonatal care within 28 days of birth. The baby must remain in neonatal care for at least 7 consecutive days. The leave is available from day one of the child’s admission to hospital. The baby must be born on or after 6th April 2025, or adopted under similar circumstances. In cases of multiple births (e.g., twins), the leave entitlement accumulates based on the number of days the babies spend in hospital. It is also important to remember that leave and pay can be taken in discontinuous periods if necessary. This flexibility is particularly useful for parents managing the care of multiple infants or children who require ongoing medical attention. Statutory neonatal care pay In addition to the leave, parents will receive statutory neonatal care pay (SNP), which is set at £184 per week (as of current rates). This pay is in line with statutory maternity leave and is designed to help families manage the financial strain of having a newborn in the hospital. To be eligible for SNP, parents must meet specific requirements, including: Having 26 weeks of continuous service with their employer. Taking the leave to care for the baby. Remaining employed during the leave period. Having weekly earnings above the lower earnings limit (currently £123 per week) for at least 8 weeks prior to the relevant week. Providing sufficient notice and evidence of entitlement to the employer. For many mothers, this leave and pay may come after maternity leave (known as tier two leave). Fathers or partners may have exhausted their statutory paternity leave and will therefore benefit from neonatal leave (tier one leave), which can be taken even if they haven’t yet started their paternity leave. Employment protections for parents The Act also includes provisions to protect employees who take neonatal leave from discrimination or dismissal. Employers are legally required to grant this leave and ensure that employees are not penalised for taking it. Employers who violate these rights could face claims for discrimination or unfair dismissal. For employers, this means they must be proactive in understanding the new law and ensure they treat employees fairly. Failure to comply could result in significant legal consequences, including claims for discrimination or automatic unfair dismissal if an employee is fired for taking neonatal leave. What this means for parents affected by medical negligence In cases of medical negligence, where a baby suffers harm due to medical mistakes or poor care during birth or the neonatal period, the new Act adds an important layer of support. Families already facing the challenges of navigating complex legal claims for medical negligence can now benefit from additional time off and some financial relief, allowing them to focus on their child's recovery and well-being during this critical period. While the flat statutory neonatal pay rate may not be sufficient for all families, it offers crucial support for those who need it most. Parents involved in medical negligence cases may also find comfort in knowing that they have the legal right to time off work during such a challenging time. Other relevant legislation for parents and caregivers Alongside the Neonatal Care (Leave and Pay) Act, there are other recent legal changes that parents and caregivers should be aware of: Protection from Redundancy (Pregnancy and Family Leave) Act 2023: This law extends redundancy protections to pregnant employees and those who have recently returned from maternity, adoption, or shared parental leave. It ensures that pregnant employees are offered suitable alternative roles if their position is at risk of redundancy. Carer’s Leave Act 2023: This new law introduces a statutory entitlement to five days of flexible unpaid leave per year for employees who are caring for a dependent with long-term care needs. Parental Leave and Paternity Leave Proposals: The Employment Rights Bill also proposes to make paternity leave and parental leave a "day one right," making it available to all employees from the start of their employment. Conclusion The introduction of the Neonatal Care (Leave and Pay) Act 2023 is a much-needed step forward in supporting parents during a difficult and emotionally taxing time. Employers need to be aware of these changes and ensure they comply with the new legal requirements. In cases where families are dealing with clinical negligence, the Act provides additional support and time to focus on their child's well-being. Ultimately, these changes reflect a growing recognition of the need for better work-life balance and family-friendly policies that support parents and caregivers in the UK. If you or a family member have suffered an injury as a result of medical negligence or have been contacted by HSSIB/MNSI or NHS Resolution you can talk to a solicitor, free and confidentially, for advice about how to respond or make a claim by contacting us.
