Proposal for amendments to maternity and paternity leave for review
Eygló Harðardóttir, Minister of Social and Housing Affairs, hereby presents a draft bill for consultation regarding amendments to the laws on maternity and parental leave, which are planned to be submitted to the upcoming Parliament. The consultation period will expire on 23 August next.
The content of the bill is based on the proposals from a working group appointed by the Minister at the end of 2014 to shape the government’s future policy on maternity leave matters. The main objectives of the changes outlined in the bill are to ensure that children have contact with both their parents, while also enabling parents to better balance family and work life. In this regard, emphasis is placed on minimising the impact on household income when parents take maternity leave to care for their children.
The main changes according to the draft bill are as follows:
300,000 ISK untouched reference income
Under current laws, a parent receives maternity leave payments that amount to 80% of the average total wages over a specified period, but never higher than 370,000 ISK per month. According to the proposed changes, parents will receive the first 300,000 ISK of reference income untouched and 80% of the reference income that exceeds 300,000 ISK per month.
Maximum maternity leave payments increase by 62%
It is aimed that the maximum payment for maternity leave will increase from 370,000 ISK per month to 600,000 ISK per month.
Maternity leave will be extended in phases
It is stipulated that the total maternity leave for parents in the labour market will be extended from nine months to twelve. It is expected that the extension will come into effect in phases during the years 2019, 2020, and 2021. When the extension is fully implemented, it is aimed that each parent can have the right to five months of maternity leave or payment of maternity benefit, but the joint right of parents will be two months.
Consultation period: It is requested that opinions and comments be sent to the Ministry of Welfare at the email address: postur@vel.is by no later than 23 August 2016.
To facilitate stakeholders, a document is attached here along with the bill, in which the proposed changes have been incorporated into the current laws.
Source: www.velferdarraduneyti.is
