Improved parental leave good for business
Having become a dad for the second time earlier this year, I know all too well the stresses and pressures on new parents.
After welcoming my new daughter to my family in January, I became the first Cabinet minister to take full paternity leave. I was glad to receive the support of colleagues to do so. Many are still regularly in touch to ask about the tears and tantrums, but I tell them I haven’t had time to pay attention to John Swinney’s latest reshuffle.
There’s no greater joy than welcoming a new addition to your family. But it’s demanding, too, both emotionally and physically, and it takes time to adjust to a new life and bond with the new baby. Mums need space, time and support to recover. But the current system of parental leave isn’t working. Only 59 per cent of new fathers take paternity leave, take-up of shared parental leave remains very low and many new parents find the system too complicated and difficult to navigate.
As part of this government’s new deal for working people, we want to make things easier for working parents. That’s why at the start of this month the government launched a full review of parental leave to make the system fairer, easier to use, and fit for the modern world of work. It will gather perspectives from parents, employers and experts across the country, and I’m glad to see that it has already received the backing of organisations like the Dad Shift and Pregnant Then Screwed.
The review comes alongside the government’s landmark Employment Rights Bill, which will end exploitative zero-hour contracts, ban fire and rehire and strengthen the enforcement of employment protections. Workers in Scotland are set to benefit more than workers in other parts of the UK, with a higher proportion of the workforce in Scotland on zero-hours contracts and in insecure employment.
The bill will also support working families by making existing entitlements to paternity leave and unpaid parental leave available from the first day of employment, strengthening rights to request flexible working, and introducing new protections against dismissal for pregnant women, mothers on maternity leave, and mothers who return to work after a period of maternity leave.
A recent survey by Pregnant Then Screwed suggests that 12 per cent of new mothers in the UK have been dismissed or made redundant whilst pregnant or having recently returned from maternity leave. That’s a shocking figure and shows that the system needs reform.
Making the world of work more family-friendly is crucially important if we want the economy to grow. Research shows that an improved parental leave system can boost the economy by billions of pounds, meaning higher living standards and more money in people’s pockets, delivering on this government’s Plan for Change.
Before entering politics, I ran small businesses. I know that a fairer deal at work means employees who are happier and more productive. It’s good for business. Throughout history, Labour governments have always made working people better off and families more secure. This one is no different.
Ian Murray is MP for Edinburgh South and Secretary of State for Scotland