26 June 2006

The Working Families Act 2006 received Royal assent this month. Alistair Darling, Trade and Industry Secretary, commented:

"Thousands of working families and carers are set to benefit from the legislation. The Government recognises the difficulties many face in trying to juggle work and family life …"

The Department of Trade and Industry issued a consultation paper in February 2005 on proposals to help give workers more choice about balancing work and family life. The 2006 Act hopes to achieve a work/life balance!

Benefits for business

• The Act introduces measures to help employers better manage the administration of statutory maternity pay, statutory paternity pay and statutory adoption pay.
• The legislation will impose a two-month notice period for women changing their return to work dates from maternity leave. Employers will be able to plan for women returning from maternity leave more effectively.
• Businesses will be able to make reasonable contact with their employees on maternity leave to help them to plan and ease a mother’s return to work.

Carers

Workers who care for adults will, from April 2007, be given a right to request flexible working. The legislation recognises that carers face difficulties in juggling work and care responsibilities.

Other changes

• An increase to nine months statutory maternity pay, statutory adoption pay and maternity allowance from 2007.
  • The intention is to increase this to one year’s paid leave by the end of the Parliament.
• A new right for an additional period of paternity leave to be introduced alongside the extension of statutory maternity pay, statutory adoption pay and statutory maternity allowance to twelve months.
  • Fathers will be able to benefit from leave and statutory pay if the mother returns to work after six months but before the end of her maternity leave period.
• ‘Keeping in touch’ days (KIT days) to enable employers to agree with mothers on maternity leave that they can return to work for a few days without losing their right to maternity leave or a week’s statutory maternity pay.
• Power for the Secretary of State, on one occasion only to increase the maximum amount of a week’s pay for the purposes of calculating statutory payments.
• Power to set a worker’s paid annual leave.
• The Government is consulting on increasing annual leave entitlement to 28 days.