Proposals for increased maternity pay worries employers

The survey, by Croner Consulting, shows that 61 per cent of businesses reject the government’s proposals to increase maternity leave from six to twelve months.

Businesses believe that productivity would suffer if the increase were to go ahead, impacting upon their bottom line.

Richard Smith, HR expert at Croner Consulting, believes that current provisions for working parents are adequate and is supporting the view of those businesses that would find it difficult to cope if new legislation is introduced.

He said: “The survey results aren't surprising and echo a rising debate of whether employees' rights are going too far. Most employers try to accommodate working parents as best as they can, but the law should support the employer's need for the work to be done.

“Employers' rights need to be balanced with those of the employee and further provisions for parents and carers would leave many businesses struggling to cope. This is especially true for smaller firms who may find it difficult to bear the costs of recruiting and training replacement staff."

Another recent survey by Croner revealed that 54 per cent of employers do not believe that a father’s right to paternity leave should be made equal to maternity leave, as proposed by the Secretary of State for Trade and Industry, Patricia Hewitt.

The investigation by Croner coincides with the latest survey by the British Chamber of Commerce (BCC), revealing that small firms are against a whole host of government proposals.

Asked about the key policy of extensions to flexible working, 62 per cent of businesses oppose any change in legislation.

David Frost, BCC director general, said: “Business has sent a powerful message to government that they cannot support increased flexible working rights. The strongest opposition came from small businesses who are fearful that they will be unable to cope if these new proposals came in.”