Employers' group criticises extensions to parental leave

Strong criticism of new legislation governing parental leave has been expressed by the Small Firms Association, which claims …

Strong criticism of new legislation governing parental leave has been expressed by the Small Firms Association, which claims that certain measures in the law could cost small employers £144 million.

The legislation on parental leave came into force on December 3rd and, in addition to allowing parents 14 weeks' unpaid leave over a number of years, it also permits limited paid emergency leave.

Unpaid parental leave applies to the parents of children born after June 1996 and must be taken in the first five years of the child's life.

However, the cost of providing for paid emergency leave, known as force majeure, is to be met by the employers. This provision allows for three days' leave in a 12-month period, or five days over a three-year time-span.

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The chairman of the SFA, Mr Kieran Crowley, said yesterday this element of the new provisions could cost as much as £144 million, based on the average industrial wage of £303.19 and an estimated labour force of 800,000 employed by small business.

"The Parental Leave Act, 1998, arose as a result of an EU Directive, but the decision on whether force majeure leave should be paid rested with the Irish Government," he said.

Responding to Mr Crowley's attack, Government sources said it was a balanced piece of legislation.

"It allows for the protection of all workers' rights and recognises that employees would be faced with emergency situations. We are only talking about three days in a 12-month period and five days over three years," the source added.

Strongly criticising the Government for its decision to pass the cost of force majeure on to Irish employers, Mr Crowley insisted it would undermine competitiveness by increasing operating costs.

It was critical that both employers and employees realised there was no automatic entitlement to this leave, "which is only in the case of emergencies where a close relative is seriously ill or injured and the immediate presence of the employee is indispensable".

In spite of the fact that the legislation is now in force, Mr Crowley said, it was important that business and the public realised its implications.