By Annie Hayes, HRZone Editor
Michael Howard and Tony Blair played their ‘family friendly’ cards this week in a battle where one tried to outwit the other for points in an attempt to win over voting parents; flirtations sweetened by the promise of extended leave and better pay for mums and dads is welcome news for working families, Editor’s Comment looks at the proposals.
It was a two-horse race yesterday as soon to be dad Charles Kennedy, leader of the Liberal Democrats refrained from announcing his parties’ childcare policies.
Howard and Blair, however, were not to be deterred from putting all their cards on the table. Empathy was a key technique with Howard berating himself for missing out in his children’s early years while he forged ahead with his own career while Blair painted an image of himself as the self-sacrificing dad who balanced work and family life to support his working wife who often left him ‘pushing the buggy.’
The key difference between the two policies was that while Blair delivered a one-size fits all solution Howard championed the right for parents to choose from a number of flexible packages.
On maternity leave both parties signalled a move towards extended provisions. Blair hinted towards far-reaching statutory reforms with suggestions afoot that the maternity pay level could stretch to a year rather than the current six months paid at £102.80 a week.
Howard was a little more reticent in firming up his parties plans and cautiously indicated that if following consultation and ministerial approval maternity pay was offered for 12 months the Tories would permit parents to have a higher rate of payment for half that time making it far easier for mothers and fathers to share the leave and the money available.
Clarifying the Tories position, a spokesperson told HRZone:
“What we’d offer is a more flexible arrangement. We’d say mothers and fathers could share the statutory entitlements so if a father would prefer to take on the childcare responsibilities he can stay at home for a year or the other way round or they can share the leave entitlement between them.”
The figure much touted in the media for the Tory increase of maternity pay is £150.00 per week for six months. The Conservative Party press office was reluctant to confirm this figure, however.
Reflecting on the current provisions new mum Emma Kettle who is currently taking unpaid Additional Maternity Leave told HRZone:
“As a first time mother I feel that six months maternity leave is not long enough. A year is much more practical and I think this would give more mothers an incentive to get back to work rather than being forced back at six months. As always it’s the smaller companies that are likely to suffer and therefore the government needs to compensate them as well as mums.”
So what would an extended maternity period shared possibly between working mothers and fathers mean for UK Plc?
HRZone member Sandra Beale said:
“The news that maternity and paternity pay will be increased and leave extended is great news for working parents and long overdue. The emphasis on improving childcare aspects is really needed in this country and happy parents mean increased productivity which can only help Britain to successfully compete with the rest of the world in business, which is the message that HR likes to get across.”
Certainly if news of the rise in female entrepreneurs is anything to go by boosting the economy will rely on part in supporting mothers during the early years and helping them to get back to work.
Speaking at the recent annual women’s business support network PROWESS conference, Industry Minister Jacqui Smith applauded the news that over 130,000 women had become their own bosses since last year.
This rise in female-led start-ups has generated £130 billion for British business, she said.
“Comparisons make stark reading. If women started businesses at the same rate as men the UK would have 150,000 extra new firms a year, and if the UK had the same levels of female entrepreneurship as in the US, there would be around 750,000 additional businesses in the UK.”
Could this number be raised further if parental support was improved?
A key clincher for many women going back to work is the cost of childcare arrangements. Again Howard, seemed reluctant to offer a precise blueprint but gave the same figure of £140.00 a week as the Labour party for childcare tax credit. He said this would, however, be paid directly to parents in order that they be allowed to spend it on any form of childcare they choose.
While Labour also said they would offer the same amount to low-income parents with two or more children this would be towards the cost of registered childcare – a position that Howard was quick to put down:
“Labour has tried to address this problem through the childcare tax credit. But the system has been designed in such a way that it restricts parents’ choice. It can only be spent on formal, registered care. That’s wrong,” he declared.
With nursery places accounting for a quarter of the average family’s income (according to Howard) the issue could be a key decision-maker for floating voters.
Childcare tax relief also received much attention.
The Tories suggesting that they would copy the Australian system in which costs of childcare is tax-deductable, subject to an upper earnings limit while Labour promised that from next April parents would not have to pay tax or national insurance on the first £50 a week they spend on employing a registered nanny.
The Prime Minister pledged that if Labour are given a third-term he would ensure that all parents of primary school children could easily afford childcare in schools from 8am to 6pm. While Howard suggested more flexible school hours could offer parents the opportunity to fit childcare around working hours while offering children the chance for more sport or supervised homework.
On flexible working both camps seemed reluctant to interfere with current arrangements. Howard warned, however, that he would not go any further for fear of placing too great a burden on employers.
On the issue of unpaid parental leave however, the government may have to do more to help employees who are often reluctant to ask for leave for fear that to do so may damage their careers while others might not be able to take the time off.
Both parties have made bold promises what will remain to be seen is whether the proposals have any substance or whether election promises such as these will be forgotten homework.
