Neonatal Leave and Pay: New Rights for Parents

The Neonatal Care (Leave and Pay) Act 2023 will come into effect on 6 April 2025, providing parents with a right to 12 weeks’ leave and pay when their newborn baby (born on or after 6 April 2025) requires neonatal care. This is a day-one right for eligible employees and is in addition to existing parental leave rights.

Neonatal care is described as: any medical care received in a hospital; medical care received elsewhere following discharge from hospital; and palliative or end of life care. The neonatal care must continue for at least seven consecutive days, starting before the end of 28 days beginning with the day after the child’s birth. 

As at the birth of the baby, the employee must be one of:

• The baby’s parents;
• The baby’s intended parents (i.e. in a surrogacy situation); or
• Partner to the baby’s mother with the expectation they will have responsibility for raising the child.

Neonatal care leave must be taken to provide care for the baby. The length of neonatal care leave will be dependent on how long the baby receives neonatal care, but is capped at a maximum of 12 weeks’ leave. The leave must be taken before the end of 68 weeks beginning with the child’s date of birth and employees will be required to give notice of their intention to take leave.

Neonatal care leave is in addition to other statutory family leave entitlements, so employees can add any accrued neonatal care leave on to the end of any other entitlement (such as maternity or paternity leave) they are taking.

In respect of pay, employees taking neonatal care leave may also be entitled to receive up to 12 weeks of Statutory Neonatal Care Pay. In order to receive this, employees must have at least 26 weeks’ service and average earnings of at least £123 a week.  Statutory Neonatal Care Pay is paid at the same rate as other family leave payments, such as maternity or paternity pay.

Employees who exercise their right to take neonatal care leave will be protected from detriment and dismissal.

Before the new legislation comes into effect, Simply-Docs will be adding new documents to help employers manage neonatal leave and pay.