How businesses can support working parents
Early Childhood Development (ECD) encompasses the physical, cognitive, social and emotional growth of children from before birth to around 5 years old. The first 5 years of life are not only important for families but also critical for the long-term health, resilience and productivity of UK society. Notably, 85% of brain growth occurs by age 3.
Businesses have a vital role to play in this journey - employing an estimated 2.5 million working parents with children under 5 in the UK. When employers create supportive environments for working parents through flexible working, inclusive leave policies, and access to relevant resources; parents benefit through increased time with their children, whilst businesses report increased employee satisfaction (94%), higher productivity (65%), and stronger engagement (72%).
The paper highlights why supporting working parents should be a key focus area for businesses, including talent attraction and retention and presents 10 employee policy ideas designed to positively impact both businesses and early years development.
New policy ideas
1. 80 for 90 (Work 80%, Earn 90%)
When someone returns from parental leave, this policy would let new parents work 80% of their hours for 90% of their pay until their child turns 2. This phased return could improve retention, boosts morale, and helps parents stay productive while they have increased caregiving responsibilities.
2. Banked Family Hours
Providing working parents with up to 2 additional hours per month for important family moments. It is a low-cost flexibility tool that improves responsiveness, engagement, and trust.
3. Expanded Caregiver Definition
Extend family-related benefits to kinship carers and non-traditional caregivers. Recognising real-life family structures strengthens inclusivity and improves retention, particularly in diverse teams.
Our research draws on a rapid literature review of over 40 published papers and reports, alongside insights from a wide range of experts working across the early childhood development (ECD) landscape, and from conversations with large-UK businesses on their approach to family friendly policies.
Authors: Tim Pemberton, Ian Stephenson, Steffen Zuncke
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