A Guide to Neonatal Care Leave for Businesses - Big and Small
Hi There!
Your People Champion recognises that leading a team is about more than policies—it’s about people. When employees face challenges like caring for a newborn requiring medical support, your role as an empathetic leader becomes critical. The Neonatal Care (Leave and Pay) Act 2023 is a landmark change designed to help parents during these vulnerable moments. Let’s explore how this law works and how Your People Champion can simplify compliance while fostering a supportive workplace.
Understanding Neonatal Care Leave
Neonatal care leave allows eligible employees to take up to 12 weeks off work if their baby requires specialized medical care within 28 days of birth. This leave is distinct from maternity, paternity, or shared parental leave, ensuring parents can focus on their child’s health without sacrificing income or job security.
Why this matters: Before 2023, parents often relied on unpaid leave or annual leave to stay with their baby. This law bridges that gap, offering peace of mind during an emotionally taxing time. By embracing these guidelines, you reinforce your commitment to your team’s well-being.
Key Eligibility Criteria
Employees qualify for neonatal care leave if:
They have responsibility for the child (biological parents, adopters, surrogacy parents, or partners sharing parenting duties).
The baby receives neonatal care for at least 7 consecutive days, starting within 28 days of birth.
Important: Employees are eligible from their first day of employment—no minimum service period applies.
Leave Duration and Timing
Minimum leave: 1 week.
Maximum leave: 12 weeks (even if care extends beyond this period).
Leave window: Must be used within 68 weeks of the child’s birth or adoption placement.
Example: If a baby requires 10 weeks of care, the parent receives 10 weeks of leave. If care lasts 15 weeks, leave is capped at 12 weeks.
Statutory Neonatal Care Pay (SNCP)
Employees may receive SNCP if they:
Have 26 weeks of continuous service by the week before neonatal care begins.
Earn at least the Lower Earnings Limit (£123/week as of 2023/24).
Pay rate: £172.48 per week or 90% of average weekly earnings (whichever is lower).
Interaction with Other Leave Types
Maternity leave: Neonatal leave cannot overlap but can begin once maternity leave ends.
Paternity leave: Parents may take neonatal leave immediately after their shorter paternity leave.
Shared parental leave: Neonatal leave can supplement this entitlement but cannot run concurrently.
Your People Champion Tip: Proactively discuss leave options with employees to help them plan effectively.
Notice Requirements
Tier One (urgent leave): Taken during or within 7 days of neonatal care. Employees must notify you before their first day of leave.
Tier Two (planned leave): Taken later within the 68-week window. Requires:
15 days’ notice for 1 week of leave.
28 days’ notice for 2+ consecutive weeks.
Your Responsibilities as an Employer
Update policies: Ensure your handbook reflects neonatal care entitlements.
Communicate clearly: Inform your team about this support through emails, meetings, or internal memos.
Protect employee rights: Guarantee a return to the same role (or a comparable one) without detriment.
Why This Matters for Your Business
Small businesses thrive on trust and loyalty. By aligning with this legislation, you demonstrate that your workplace values both professional and personal milestones. It’s not just compliance—it’s cultivating a culture where employees feel secure to grow their families and careers.
How Your People Champion Supports You
Navigating HR complexities can feel overwhelming, but you’re not alone. Your People Champion is here to:
Simplify policy updates: Access customisable templates and step-by-step guides.
Manage leave requests: We’ll help you handle notifications, payroll adjustments, and workforce planning.
Ensure compliance: Stay ahead of legal changes with our timely updates and expert advice.
Let us transform legal requirements into opportunities to strengthen your team’s trust in you.
Your Next Steps
Review your current policies.
Download our free neonatal care leave checklist (available on our website).
Reach out to Your People Champion for personalised guidance.
Together, we’ll ensure your business remains both compassionate and compliant.
Disclaimer: This guide provides general information. For specific legal advice, consult a qualified professional.
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