Registered social landlords are bracing themselves for huge increases in paid parental leave that will be required by law from next April.
A survey, ahead of the Employment Act that will dramatically extend parental leave, found that 62% of housing associations do not provide the two weeks' paid paternity leave required under the new law, which will also increase maternity leave from 40 weeks to a year.

It also found that almost two-thirds of housing associations have difficulty setting up family-friendly policies because of the cost of paying full-time staff who are on parental leave.

Legal firm Trowers & Hamlins and management consultant Mann Weaver Drew questioned the top 100 RSLs on their maternity, paternity and adoption leave and other flexible working policies.

The survey concluded, however, that the housing sector is still better at providing family-friendly policies than many other businesses.

Small RSLs will be hardest hit by the increased parental leave costs, according to Peter Jeffery, director of human resources for Anglia Housing Group. He said: "It will cost them an arm and a leg. They will not only have lost a skilled worker for a long time but they will need agency staff, so they will be paying costs for a reduced service."

Nicola Brandon, personnel officer at Manchester-based St Vincents Housing Association, said: "We haven't got much choice. There will be an impact, particularly in maternity.

"We already do full pay for paternity leave so we are way ahead of people who only do the statutory minimum."

Ronnie Moodley, chief executive of ARHAG Housing Association in north London, said he took on tenants to cover maternity leave in order to increase their job prospects. He said he would continue to do this to cover the extra maternity leave in the act.

Emma Burrows, head of employment at Trowers & Hamlins, said the new law would mean big changes for some associations but would save them money in the long term as it should result in increased retention of employees.

Catherine Diamond, human resources strategy and implementation director at Mann Weaver Drew, said the act would help recruitment as it made standard paternity leave and extended maternity leave, previously used to entice staff.

Source

Housing Today