Paid paternity leave is about to become law - here's what that means for employers
For the first time, new fathers in Ireland will soon be entitled to at least two weeks of basic pay.
AS IRELAND PREPARES for the provision of paternity leave as a legal, statutory right through legislative change, I take a look at the practical implications its introduction is likely to have on Irish employers.
I also consider the Taoiseach’s announcement of a proposed scheme for shared parental leave and additional parental leave.
Paternity leave
Recent steps towards the recognition of paternity leave as a legal right in Ireland and recent announcements by the government confirming imminent legislative change indicate the government’s commitment to this area.
When announcing the proposals for the introduction of paternity leave last year, Minister for Justice and Equality Frances Fitzgerald heralded the introduction of paternity leave as having positive effects for gender equality and enabling fathers to spend time caring for and being with their children and families.
Shared parental leave
In addition to the introduction of paternity leave, Taoiseach Enda Kenny recently confirmed that an extra two weeks of parental leave is expected to be introduced in September.
This means that there will be two separate schemes rolled out to give parents more time off after the arrival of a baby. The Taoiseach also announced plans to be included in next year’s Budget to introduce a further two weeks of shared parental leave, which can be availed of by fathers and mothers.
For many companies, a shared parental leave policy, similar to that adopted in Scandinavia and in the UK, as mentioned by the Taoiseach, is preferable as this would encourage new parents to share the responsibility of rearing their child and this might facilitate mothers to return to work at an earlier stage.
This could create a knock-on effect of greater equality between men and women in the workplace.
What it means for employers
The changes that came in with Budget 2016 propose two weeks of paternity leave to be granted and paid at a rate of €230 per week, subject to the father having made suitable PRSI contributions prior to the leave period.
These payments will apply only to fathers of children born after 1 September, 2016. The two weeks of leave may be taken at any stage of the first 26 weeks following the birth of the child.
Similar to maternity leave, an employer may decide to pay an employee during the two-week period, however they are not required to do so. The difficulties that small- to medium-sized companies will face in ‘topping up’ paternity leave will undoubtedly have an impact on recruitment for these companies.
The changing landscape of alternative, ‘benefits’-focused employment is attracting talent to larger companies that promise above the statutory minimum. However, the introduction of these measures on a statutory basis arguably assists those smaller companies in at least stepping up to the plate in terms of the benefits on offer to their employees.
Once paternity leave becomes a statutory right over the coming months, it would be advisable for employers to treat those employees availing of paternity leave in an equal manner to those taking maternity or adoptive leave.
It is highly recommended that employers draft up a policy covering paternity leave stating how it may be applied for, whether it will be ‘topped up’ by the employer and any other relevant provisions.
The content of this article is provided for information purposes only and does not constitute legal or other advice.
Liam Riordan is a partner in the employment law team at Mason Hayes & Curran.
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