Paid leave policies take many forms. There are the traditional offerings like sick leave and paid time off. Then there are the newer benefits: paid mental health days, paid bereavement leave, paid caregiver leave.
The most popular type of paid leave is paid parental leave. Paid parental leave is the number one new leave benefit offered by employers, according to a recent report from AbsenceSoft. The expansion of such policies is partly due to a growing demand for more support from working parents. The desire for leave is especially strong with employees, as the U.S. provides no paid leave for workers with growing families.
As employers respond to this demand, paid parental leave policies are multiplying quickly. For employers with distributed workforces, it can mean overlapping entitlements depending on the state.
Paid parental leave policies must be implemented thoughtfully and managed with care — otherwise, leave managers will end up frustrated, overwhelmed, and potentially out of compliance with the law.
This blog will identify the common pitfalls the employers we support encounter when implementing and managing paid parental leave. We’ll also share best practices that will set both employers and employees up for success.
Don’t underestimate the complexity of parental leave
When an employee adds a new child to their family, there’s a chance they will take no leave other than that provided by a paid leave policy. But that doesn’t mean employees lack access to other types of leave. In fact, employees are very likely covered by additional and sometimes overlapping protections and entitlements.
These protections and entitlements may include:
- The Pregnant Worker’s Fairness Act (PWFA)
- The Americans with Disabilities Act (ADA)
- The Family and Medical Leave Act (FMLA)
- The Pump Act
- State and local family leave laws, depending on the state they reside in
- Short-term disability
To understand how these protections can interact, it’s helpful to consider a hypothetical example. Let’s say there’s a healthcare worker named Wendy. Wendy works in California and recently gave birth to a baby girl. While the little one arrived safely, Wendy experienced some complications before and after her delivery.
Consider the federal laws, state statutes, and company policies that apply to Wendy. Because of her circumstances, Wendy would be entitled to a lengthy leave, in addition to accommodations.
Wendy’s hypothetical situation illustrates just how complex parental leave can be. While Wendy had access to paid parental leave from her employer, that leave accounted for only a short amount of her total time off. Her leave was greatly extended by time off granted by other company policies, in addition to protections provided by state and federal law.
Do prioritize compliance
Parental leave can be challenging to get right for every request. It involves not only company policy but also federal and state legislation. That’s why it’s essential to understand how federal and state laws interact with company policy. This understanding should deeply inform how a company calculates employees’ leave eligibility.
Anyone involved in managing parental leave must thoroughly grasp the protections granted by related laws. Team members should understand, for example, how various laws and policies address job protection, pay rates, and accommodations.
Cultivating a strong understanding of leave and accommodation laws ensures workers get the support they’re entitled to. It also protects organizations from legal action. When a company improperly denies parental leave benefits provided by state or federal laws, the mistake could lead to an expensive lawsuit.
But it’s nearly impossible for leave managers to keep up with leave and accommodation laws on their own. New laws providing related protections and entitlements go into effect all the time. And longstanding statutes are frequently amended.
That’s why it’s important for leave managers to equip themselves with technology that will help them stay compliant. Providers like AbsenceSoft employ teams of compliance experts who are dedicated to understanding these laws and how they interact with one another. These experts design platforms that automate key calculations, positioning HR managers to make complex decisions with accuracy and efficiency.
Don’t assume a robust policy guarantees a good employee experience
A generous parental leave policy gives employees and their families the time and space they need to adjust. But leave management mistakes can make even the lengthiest leave feel lackluster.
Common mistakes include:
- Leaving employees in the dark on how to request leave.
- Greenlighting leaves before developing a coverage plan.
- Communicating too much or too little with employees out on leave.
- Rushing employees back to work from leave.
- Canceling employees’ benefits upon their leave.
- Bungling — or forgetting about — an employee’s return to work
Here’s the bottom line: high-quality leave benefits don’t guarantee a high-quality employee experience. Employers must avoid leave management mistakes to provide employees a positive experience.
Do optimize the parental leave process, end to end
Employers can proactively improve their parental leave process by optimizing it. A careful examination of the leave process from beginning to end reveals several actions employers can take:
- HR should develop a standardized process for receiving leave requests.
- Organizations must keep careful track of employee’s eligibility and entitlement.
- HR can send a standardized packet of leave information to kick off the communication process.
- If documentation for leave is necessary, employers must keep it organized and confidential.
- HR must approve or deny leave requests quickly but with the utmost accuracy.
- HR must stay on top of case management throughout a parent’s time off.
- Employers should create a seamless return to work — an employee’s return date should be documented and communicated throughout the organization.
- HR must be aware of any interactions a parent’s leave may have with related leave statutes, like state leave, the PWFA, and the ADA.
Remember, the leave process is what drives both good and bad leave experiences. When leave processes are confusing or unclear, the leave experience is more likely to be poor. But clear leave processes — as well as supportive managers and HR teams — are key predictors of good leave experiences.
Don’t focus solely on parents
When implementing a parental leave policy, it can be tempting to focus solely on the parents who are preparing for, out on, or coming back from their time off. Employers must realize, however, that parental leave impacts many other employees besides those actively taking leave.
An important part of managing parental leave, for example, is manager training. Most managers feel totally unprepared to support employees going through parental leave. They need clear instruction on how to interact with new or soon-to-be parents. They should receive guidance on how much communication is expected or appropriate during an employee’s time off. And they should understand the steps involved in re-onboarding a parent returning from leave.
Another important aspect of managing parental leave? Coverage planning. Coverage plans prevent burnout by dividing the workload of an employee out on parental leave. They can also include hiring temporary workers to relieve the burden on colleagues taking on additional work.
Do welcome employees back to work in an intentional way
Employers can’t forget about the return to work process. While many other steps precede it, an employee’s return to work is one of the most important parts of the parental leave management process, as it sets the tone for the parent’s new relationship with work.
What’s more, the way an employee returns to work can color their overall leave experience. According to AbsenceSoft data, a bad return to work experience is one of the top reasons employees described their leave experience as poor. Respondents said they felt rushed returning to work, that they experienced delays in getting building or systems access, that their manager was unprepared for their leave, or that they didn’t even know when to return to work.
This disorganization damages the leave experience. Employers must avoid these mistakes, as poor leave experience can lead to employees feeling less engaged in their work, AbsenceSoft data reports.
To make parents’ return to work more manageable, some companies implement a phase-back policy, where returning employees work partial hours at full pay for the initial weeks of their return to work. Even without such a policy, employers can create a positive return to work experience by focusing on communication and preparedness.
Don’t forget other types of paid leave
Paid parental leave is in high demand among workers and job seekers, making it an excellent benefit to offer. But it’s not the only paid leave policy that matters.
These days, employers offer many types of paid leave. Some are short-term policies, like bereavement leave, organ or bone marrow donation leave, and caregiver leave. Other policies are flexible and provide time off according to the situation. Examples of these policies include jury duty leave, crime victim leave, and pregnancy leave. You can see what leave policies are active in each state in our Leave Law Lookup.
No matter the length, these policies are important benefits for employees. They allow workers to take the time they need to address their personal needs without sacrificing pay.
Do use leave management tools to implement your paid parental leave policy
As you consider how to manage your paid parental leave policy, don’t forget about technology. Modern leave management software like AbsenceSoft makes implementing paid parental leave policies easy and accurate.
When organizations outsource leave management, the third parties often don’t have the capacity to implement company policies like paid leave. But AbsenceSoft allows users to add their own company policies to its platform. That way, HR can see who’s eligible for company-provided paid leave, FMLA, and state leave, all at the same time.
If you’d like to learn more about how AbsenceSoft can facilitate your approach to leave management, schedule a demo today.