Morag Hutchison has specialised in employment law for over 20 years’ and is currently an Employment Lawyer with Shepherd + Wedderburn.
When a baby needs neonatal care, parents often face the challenge of balancing work with time at the hospital. The Neonatal Care (Leave and Pay) Act 2023, coming into effect on 6 April 2025, ensures that parents in this situation have dedicated leave—separate from maternity or paternity leave—to spend with their baby without worrying about work commitments. This new entitlement provides up to 12 weeks of leave and, for eligible employees, statutory pay. Here’s what employers need to know to prepare for these changes.
What do employers need to know?
1. Who can take this leave and for how long?
The leave will apply to the parents of a baby who is admitted to neonatal care within 28 days of birth and is in hospital continually for 7 days or more. Parents will be able to take up to a maximum of 12 weeks of leave while their baby is receiving neonatal care. This leave is available in addition to any maternity or paternity leave entitlements. Parents may also be eligible for Statutory Neonatal Care Pay during this period of leave if they meet the minimum service and earnings criteria.
2. What employees are eligible?
The right to time off will be a day one right. However, to have access to Statutory Neonatal Care Pay the employee must have 26 weeks of continuous service with their employer. The Regulations state that the Neonatal Care Leave and Pay only apply in relation to children who are born on or after 6 April 2025 and must be taken within 68 weeks of birth. The right can apply to the baby’s parents, intended parents in a surrogacy arrangement, adoptive parents, and the partner of the baby’s mother.
3. What do employees have to do?
Employees must provide their employer with a notice in writing containing specific details provided for in the Regulations. There is currently no requirement to provide medical evidence to the employer.
What should employers consider now?
Employers should consider updating their family leave policies to include the Neonatal Leave and Pay entitlement employees will have from 6 April 2025 and may wish to consider whether to offer any enhanced pay arrangements in line with existing policies. It would be helpful to have a standard notice form for employees to complete when looking to take Neonatal Care Leave.
Employers should also ensure their people managers understand the changes so that they are well-placed to handle relevant situations sensitively, and that clear information is given to staff to make them aware of these new rights and the process for taking Neonatal Care Leave.
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