On The Horizon – July 2025

Have your say on Parental Leave

“Supporting working parents isn’t just the right thing to do – it’s vital for our economy”. Readers of this blog all know this to be true. But it is refreshing to hear it set out by Deputy Prime Minister, Angela Rayner.

On 1^st July, the Government committed to a full review of all types of parental leave, and a look at the objectives of family leave policies. These policies should support the health of parents, children and the economy. The question is whether the current provision does this.

As the news release puts it: “This [review] delivers on a key pledge in the Plan to Make Work Pay and supports two of the government’s core missions – growing the economy and breaking down barriers to opportunity.”

The review is co-led by the Department for Business and Trade and the Department for Work and Pensions. “It will examine how the current system can be improved to meet the needs of modern families, while supporting economic growth.”

You can take part in a Call for evidence, which closes on 25^th August, where it’s possible to comment on the current provision, on whether the objectives are right, and how parental leave policies could best meet those objectives.

The review is welcomed by campaigners who have been pressing in particular for better paternity leave. The University of Bath recently set out evidence suggesting better paternity leave could bring a £12.8bn boost to the UK economy. The Women and Equalities committee had called for this too in the House of Commons, suggesting the current provision of two weeks at £187.18 a week is "completely out of kilter with the cost of living" and suggesting the government should consider increasing paternity pay to 90% or more and paternity leave to six weeks, in a phased approach.

Summertime, and the living’s not so easy…

Once families have got beyond parental leave, the real juggle begins; and the summer can be a particular strain. Executive Director of Work+Family, Chris Locke has written in Personnel Today about the numerous pressures: including solving the impossible annual equation in which school holidays far outstrip anyone’s annual leave. He also points to the more hidden pressures of ‘exam season’, when managers can show empathy by paying attention to parents’ concerns about their young people’s wellbeing in the face of GCSE, ‘A’ Level and similar results.

In words that map well onto those of Angela Rayner’s at the top of this article, Chris Locke comments: “In today’s evolving workplace, supporting employees through the various stages of life is no longer a ‘nice to have’- it’s a strategic business imperative”. He draws on data from the 2025 State of Childhood Report that 25% of parents with primary school-aged children are now turning to their employer for support, not only for holiday camps but also for mental health resources. The report also shows that 75% of parents are at least a little concerned about their children’s mental health, across all age groups.

Employers share best practice

For an inspiring read on an employer with a range of supports in place to empower working parents and carers, Bright Horizons’ latest ‘client story’ shows the programme put in place by Shell. Relating to the theme above, feedback here on the way Back-Up Care addresses the holidays includes “Access to Back-Up Care is critical for those of us with children. With so many holidays and half-terms, it is a huge relief to be able to book them at a centre/camp at a reduced cost, especially those of us who are on the lower tier of compensation. It is highly valued and all the camps and centres I have chosen for my daughter have been excellent and trustworthy”.

Beyond Back-Up Care, Shell’s client story reveals the multi-layered family support strategy which also includes access to the Work+Family Space platform with Speak to an Expert Service as well as Care Choices support. It also details Shell’s programme of Coaching that provides a supportive and solution-focused thinking space for individuals going through and returning from parental leave and long-term sickness absence.

Another stellar example of an employer with a well-developed parent and carer strategy was brought to life at the Reba 2025 Congress by Alison Kanabe of Bank of America. Here, the Bank’s SVP Head of Pensions and Benefits for EMEA and beyond, expertly outlined the importance of addressing many moments that matter along the employee lifecycle with care that meets the emerging needs of the workforce.

And talking of recognising employers, a customary nod to the many awards won by Bright Horizons: this time another year’s recognition in the ‘Best for Wellbeing’ category by Great Place to Work, making the top 15 in the ‘Super Large’ employer category.

Caring for (Celebrity) Caregivers

Hot on the heels of the UK’s carers week, film producer and Hollywood actor, Bradley Cooper has been prompted by his experience of supporting his father through terminal illness, to make a documentary film: Caregiving.

As PBS’s nextavenue puts it ‘Told through a revolving frame of personal stories, interviews with policy makers, facts and figures and historical timelines, Cooper and the filmmakers aim to raise awareness of the caregiving crisis’.

Meanwhile, the Bright Horizons content team has focused in on grandparents in a blog article pointing to the care needs of elders and also the increasing reliance placed by many workers on grandparents as child-carers. It flags the need for a ‘plan B’ if grandma or grandpa decide they are otherwise busy, whether with work, travel or their own health concerns.

Return to Office, or just work less? It’s all in the news.

The latest 4-day week trial is reported to have been successful given ‘all 17 businesses involved … have decided to adopt the model permanently – further boosting efforts to redefine the traditional workweek’. The study involved nearly 1,000 employees, notably however working in small and medium-sized businesses.

The People Management article linked above continues: ‘Following the end of the trial period, 12 businesses will continue with a four-day week, while five have instituted a nine-day fortnight. In both models, there will be no loss of pay for employees’.

While bold claims are made for the productivity (and wellbeing) boosts of the 4-day week, the productivity holy grail is equally avidly pursued through greater in-office working. Harvard Business Review, in an article harshly titled: Hybrid Still Isn’t Working emphasises the benefits of in-person working, but goes on to say that most employers simply have not set up the Return to Office well enough. The article points to the value of on-site working for new hires and for team cohesion and collaboration, suggesting remote meetings are less effective and ‘the wrong people get promoted’ among other ills. Implementing a return, however, needs a strategy (which HBR is bound to say, right?). That strategy includes recognising that a hot-desking scramble is not conducive to creative co-working, and that coming in for a purpose is more compelling, including ‘anchor days’ when teams head in together.

A study by King's College London puts it even more simply. The research with over 2,000 London workers revealed a dislike of the office was not the central issue for most; ‘it was the journey to get there on overcrowded trains and buses’. Among the wider UK population, the same research found a strong preference among ‘especially women and parents, to maintain flexible working arrangements post-pandemic, with many willing to change jobs if forced to return to full-time office work’.

If a Workplace Nursery is part of your strategy to encourage in-person working, the recent webinar showcasing the success of Aberdeen’s Robert Gordon University’s on-campus early education setting is well worth a viewing. The panel explores the business case for onsite or near-site nurseries from the positive impact on talent retention and wellbeing to the pure cost savings on employee and employer National Insurance and employee tax.

In the 2025 Work+Family Snapshot research, 85% of workplace nursery user parents agree the provision helps them attend their office/workplace, and 85% say they are more likely to stay with their employer. Further, 74% say their employer-sponsored nursery helps them focus on their work during working hours, and over 7 in 10 (71%) say their employer-sponsored nursery has a positive impact on their productivity.

A back-up plan is helpful too, as ever: 95% of Bright Horizons’ client employees responding to the survey say emergency childcare is important to facilitate return to office, with 85% of these saying it was ‘very or extremely important’.

Employment Rights Bill timeline is published

It is now clear that changes under the Employment Rights Bills, published last Autumn, within the Government’s first 100 days in office, will be implemented with a phased timeline. Its wide-ranging measures will be brought in gradually; and using the usual dates for major legislative reform of 6^th April and 1^st October.

In the world of employers’ involvement in family care, changes to note in the Employment Rights Bill include:

1. the ‘Day 1’ right to paternity leave and unpaid parental leave will come into effect in April 2026.
   This removes the need for 26 weeks’ service.
   Parental leave here refers only to the ‘statutory unpaid parental leave’ of 18 weeks that runs at up to 4 weeks a year until a child is 18.

• Autumn 2025 will see a consultation on furthering rights for pregnant workers.
• 2027 will see rules brought in on Gender pay gap and menopause action plans (to be introduced on a voluntary basis in April 2026).
• The changes to Flexible working are slated for 2027. If an employer wants to turn down a flexible working request, they will not only have to give written explanation using the existing 8 business reasons but also write to the employee as to why it is reasonable to turn it down for the given reason.
• Consultation will take place during Summer/ Autumn 2025 on the Fair Pay Agreement for the Adult Social Care Sector.
• Announced separately, it has been confirmed that the Bill will make provision for parents who experience a miscarriage before 24 weeks of pregnancy to gain access to up to a week’s leave, following earlier recommendations by the Women and Equalities Committee.

While welcoming the announcement of the phased approach, the CIPD has commented that there are still concerns over the (rapid) pace of change and cost implications of all the wider changes, committing to “continue to collaborate with policy-makers, ensuring that valuable insights and expertise from employers and the people profession help to inform the implementation plan”.