A new report has revealed that workplace policies, financial support and flexibility are all key factors in family planning, yet many working parents feel that their current workplace and government support systems are falling short.
According to the study, entitled Beyond the Birth Rate by Fertility Family, employees feel unsupported by their employers and government policies, raising critical questions about the future of workforce retention and family growth. In fact, a staggering 87.6% of respondents say statutory maternity pay is insufficient, and 85.4% feel the same about statutory paternity pay. With financial concerns already delaying parenthood for many, companies that fail to offer enhanced parental leave benefits risk losing employees to organisations that do.
DECLINING BIRTH RATE & WORKPLACE CONNECTION
The UK birth rate has plummeted by 26.9% in the past 15 years, and research points to an undeniable link between employment conditions and family planning. Employees are scrutinising their workplaces’ ability to support parenthood, and for good reason.
As businesses compete for top talent, outdated policies on parental leave and work-life balance could drive employees towards more family-friendly employers. Companies that fail to act risk losing key talent – not only today but in the long run, as family-oriented policies become a deciding factor for jobseekers.
FLEXIBLE WORK MATTERS FOR WORKING PARENTS
The shift towards remote and hybrid work has been a game-changer for prospective parents. More than half (55.6%) of survey respondents say flexible or home working options have made it easier to plan for a family.
But access to flexibility remains inconsistent. Nearly one in three employees (28.7%) feel that their employer does not provide adequate flexible work options, creating a significant hurdle for those balancing careers with the desire to start or expand their families. In a job market increasingly shaped by work-life balance priorities, companies that lag in flexibility may struggle to attract and retain employees seeking a family-friendly workplace.
PARENTAL PAY POLICIES FALLING SHORT
Financial stability plays a huge role in family planning, yet existing maternity and paternity pay structures appear inadequate. A striking 93.2% of respondents planning to start a family say that enhanced maternity pay (beyond statutory levels) is important, with 40.6% calling it “extremely important.”
While workplace policies are crucial, government support also plays a major role in shaping family planning decisions. Survey respondents pinpointed key areas for government action:
- 75.7% say affordable childcare should be the top priority.
- 64.9% want improved maternity and paternity leave policies.
- 19% believe housing subsidies for families should be implemented.
With the UK’s childcare costs among the highest in the world, financial constraints remain a major deterrent to family growth. The demand for better maternity and paternity leave policies highlights an urgent need for businesses and policymakers to step up.
URGENT ACTION NEEDED
If businesses want to attract and retain top talent, they must rethink their approach to parental support, noted the report. Flexible work options, enhanced maternity and paternity pay, and workplace cultures that prioritise family life aren’t just perks—they’re essential.
With two-thirds of respondents calling for better parental leave, and workplace flexibility proving to be a crucial factor in family planning, the corporate world has a choice: evolve with the needs of modern employees or risk losing them to companies that do.
Click here to read the full report.
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