Small firms will ‘pay out £7k on maternity leave proposals’

Small businesses in the UK will have to foot a £7,000 annual bill if European proposals to extend maternity leave to 20 full-pay weeks are pushed through, one organisation has estimated.

The Federation of Small Businesses (FSB) has urged ministers to retain the right for small businesses to have their flexible practices, rather than having a mandatory law.

Also, the FSB has said that parents should be paid what is currently the statutory maternity and paternity leave during the time they want off, as a measure to help ensure that they will be incentivised to return into work.

Meanwhile, the Department for Business and Skills today (December 6th) reassured firms and business organisations that it would stand strong on existing legislation to protect enterprises in the UK.

Edward Davey, the minister for employment, said: “We have agreed that we must pause for reflection before we determine how, or indeed if, an acceptable compromise can be reached.

“On the basis of the current proposals it is difficult to see how such a compromise can be achieved.”

Share with others...