A new entitlement to statutory neonatal care leave (NCL) and statutory neonatal care pay (SNCP) for employed parents, comes into force from 5 April this year. The Government states that around 40,000 babies spend over one week in neonatal care each year. It estimates that around 60,000 parents will be eligible for NCL and about 34,000 parents will take up the new right every year. It recognises that at such a stressful time parents can be in a difficult position of having to choose between risking their job and spending time with their baby.
Currently, to spend time with their ill newborn baby, employees have to use a patchwork of existing leave entitlements such as statutory maternity leave, adoption leave, or short periods of statutory paternity leave, compassionate leave or unpaid parental leave. This new right will provide for an additional period of leave for both those who otherwise would not have such statutory leave, and also has the effect that other types of statutory leave are not used up during such a period (such as maternity leave).
Eligibility for Neonatal Care Leave
Employed parents whose children are born on or after 6 April 2025 will benefit from NCL if their child receives specialist neonatal care starting within 28 days of their birth and which continues for seven or more continuous days. It is a day one right so there is no service requirement for employees to benefit. The entitlement is to 12 weeks leave which must be taken within the first 68 weeks of a child's birth. NCL may be taken in addition to other types of leave. This means that a mother could take both 52 weeks statutory maternity leave and 12 weeks NCL within 68 weeks of the child's birth.
Procedure for taking Neonatal Care Leave
Employees must provide information to their employer to confirm they are eligible to take NCL, but the procedure differs depending on whether NCL is taken during a Tier 1 or Tier 2 period.
Tier 1 period: This is the period from the start of neonatal care until the seventh day after the baby stops receiving neonatal care, within 28 days of the baby's birth. NCL can be taken after the baby has received specialist neonatal care in a hospital in blocks of one week at a time. Fathers who only have two weeks paternity leave or partners not taking primary maternity or adoption leave are likely to benefit from this new leave. During the Tier 1 period notice to the employer can be given before an employee is due to start work on the first day of absence for NCL in that week, or as soon as reasonably practicable
Tier 2 period: This is the remaining period following a Tier 1 period up to 68 weeks of the child's birth. During this time any remaining entitlement to NCL can be taken in one block. Primary carers on longer periods of family leave might choose to add any accrued period of NCL onto the end of their statutory maternity or adoption leave. For Tier 2 leave, the employee must give their employer 15 days’ written notice for one week of leave and 28 days’ written notice for two or more consecutive weeks of leave.
Although there are default statutory notice provisions, the parties can agree to flex those requirements and substitute other timings.
Eligibility for Statutory Neonatal Care Pay
In line with other types of statutory family related pay, to be eligible for SNCP employees must be employed for at least 26 weeks prior to the week of the baby's expected due date. Their earnings must average at least the lower earnings limit (£125 per week from 6 April). SNCP, which will rise to £187.18 per week from 6 April 2025, will be paid at the same rate as other types of statutory family pay (e.g. statutory paternity pay.) Other eligibility and notice requirements mirror those for NCL.
Protection for employees on NCL
As is the case for other types of family related leave, employees taking NCL have the right to return to the same job after a period of NCL, and if not reasonably practicable, a suitable and appropriate position. On a redundancy during leave or additional protected period (which is 18 months from the birth or adoption if at least six consecutive weeks of leave have been taken) they have the right to be offered a suitable alternative vacancy. Such employees also have protection from detriment or dismissal relating to taking NCL.
To prepare, employers should ensure that their existing family leave policies incorporate the new rights to neonatal leave and pay. Where provision is already made for enhanced levels of other family related pay, consider whether either some or all the 12 weeks SNCP will also be paid at a rate higher than the statutory minimum rate. To support employees during a very emotionally stressful time, ensure that HR and management are trained on these new rights, and that details of them are communicated sensitively to employees. Where possible, draw attention to other assistance available for parents such as an Employee Assistance Programme or counselling, to help with dealing with the physical and mental impact of their baby needing neonatal care.
As these new rights come into force early next month, employers should be preparing for their introduction now and understand how they interact with other types of family leave and pay. This means that organisations are fully up to speed with any requests which are made in the coming weeks and months at what is a particularly difficult time for a new parent.
