Written answers

Thursday, 21 April 2005

Department of Justice, Equality and Law Reform

Parental Leave Provisions

5:00 pm

Photo of Charlie O'ConnorCharlie O'Connor (Dublin South West, Fianna Fail)
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Question 208: To ask the Minister for Justice, Equality and Law Reform the arrangements for maternity leave within the public bodies under the aegis of his Department; if he will consider providing an additional eight weeks' paid leave in regard to maternity leave; the likely cost thereof; the likely cost to the Exchequer of six weeks' paid parental leave; and if he will make a statement on the matter. [12739/05]

Photo of Michael McDowellMichael McDowell (Dublin South East, Progressive Democrats)
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The maternity leave arrangements for employees in the public bodies under the aegis of my Department are the same as those which apply in the Civil Service generally — 18 weeks paid maternity leave with the option of a further eight weeks additional unpaid maternity leave.

A review of the maternity protection legislation was carried out in 2000 by a working group, chaired by my Department, which comprised the social partners and relevant Departments and agencies.

Among its recommendations, the working group recommended an increase in the maternity leave entitlement, which attracts a payment from the Department of Social and Family Affairs, from 14 weeks to 18 weeks, and an increase in the unpaid additional maternity leave entitlement from four weeks to eight weeks. These increases were announced in budget 2001 and implemented by means of the Maternity Protection Act 1994 (Extension of Periods of Leave) Order 2001 (S.I. No. 29 of 2001), with effect from 8 March 2001.

The Maternity Protection (Amendment) Act 2004, which was commenced on 18 October last, implemented a number of other improvements recommended by the maternity protection review group. There are no plans for a further extension of the maternity leave periods. Official costs would fall to be made in the context of any further reviews.

A proposal for paid parental leave was considered in the context of a review of the Parental Leave Act 1998, which was conducted by a working group chaired by my Department. The working group comprised the social partners, relevant Departments and the Equality Authority. The report of the working group on the review of the Parental Leave Act 1998 was published on 29 April 2002.

The working group did not reach consensus on the principle of paid parental leave and, accordingly, did not address all the possible options this raises. However, the potential cost of a social insurance payment for the 14 weeks' parental leave, based on the qualifying criteria for the maternity benefit scheme and a payment level equivalent to maternity benefit, was estimated by the Department of Social and Family Affairs in 2001 during the review of the Act.

The potential cost per annum of 14 weeks paid parental leave is as follows. Social insurance payment in respect of parental leave based on the earnings related maternity benefit rate and a 90% leave uptake by women and a 15% uptake level by men would amount to €78.84 million.

Public sector employer costs — where the rate of payment for parental leave to public sector employees — would in all likelihood be full pay, similar to maternity leave, and the cost to public sector employers, net of Department of Social and Family Affairs reimbursements in respect of full PRSI contributors, would amount to €50.5 million.

Total cost to social insurance fund and the Exchequer, if parental leave attracted a payment on the same basis as maternity leave, is estimated to amount to €129.34 million. The estimated total cost would be significantly higher now in view of increases since 2001 made in maternity benefit rates and public sector pay.

The Government is committed as part of the Sustaining Progress partnership agreement to strengthen the parental leave scheme in accordance with the recommendations agreed in the report of the working group on the review and improvement of the Parental Leave Act 1998. In this regard, the Parental Leave (Amendment) Bill 2004 was published and initiated in Seanad Éireann on 16 December 2004. The Bill is currently awaiting Second Stage in the Dáil.

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