A parents’ pressure group has been launched by the Equal Opportunities Commission (EOC) to lobby employers and the government to improve flexible working rights and childcare for employees.

The new Parents’ and Carers’ Coalition said that small firms could greatly gain from family-friendly policies, in terms of increased productivity, better staff retention and lower overheads.

The pressure group pointed to an Omnibus survey which showed that nearly four in ten mothers, one in ten fathers and a fifth of carers had given up or turned down a job because of childcare concerns.

According to the Coalition, employers’ fears over the cost of flexible working were unfounded, with government research finding that 76 per cent of firms with family-friendly practices reporting no set-up costs.

The study also revealed nearly half of employers with flexible working experienced increased productivity and profits.

The EOC said that it was imperative for political parties and businesses to realise that parents and carers needed a better deal in the workplace, for the good of the economy.

Flexible working laws, which were introduced in April 2003, have been generally accepted by employers across the UK, although studies have shown that resentment among staff is common when requests for variable hours are turned down.

Julie Mellor, chair of the EOC, said that the lack of support parents and carers currently receive can make their lives difficult, as they struggle to make enough time for the people they care for.

“For example, 41 per cent of fathers with children under five say that it is stressful finding enough time to spend with their children. The situation harms the economy, limiting the job opportunities of those who want to work.

“As some employers have already discovered, they also have much to gain from using flexible working to meet the growing demand for facilities and services 24 hours a day, as well as meeting their employees’ needs.

“Increasing flexibility will also help them retain staff with the skills they need for success. Our survey shows that too many employers end up losing valuable staff often because they don’t have access to the services they need, such as reliable and affordable childcare, which would help them combine work and caring responsibilities,” she said.