A major reform of workplace protections in the United Kingdom is set to take effect in April, with the government introducing expanded sick pay and parental leave rights under the new Employment Rights Act. Officials say the changes will strengthen protections for workers while addressing longstanding inequalities that disproportionately affect women.
The measures arrive amid growing attention on the financial impact of parenthood on women’s careers. Recent data shows that mothers experience a sharp drop in earnings after having children, a pattern often referred to as the “motherhood penalty,” which continues to shape debates about workplace equality and family policy.
Expanded Sick Pay and Parental Leave Rights
The Employment Rights Act introduces several new protections aimed at improving working conditions, particularly for lower-paid employees. According to research from the Trades Union Congress (TUC), around 4.7 million women are expected to benefit from stronger statutory sick pay rules once the changes come into force in April.
Among them are more than 830,000 women who will qualify for sick pay for the first time. Many of these workers currently earn below the £125 weekly earnings threshold required to access statutory sick pay, meaning they have previously been excluded from the system. The TUC said this gap has disproportionately affected low-paid women, leaving many with little choice but to continue working while ill.
The reform also introduces new parental leave rights. Fathers and partners will gain the right to take paternity leave from their first day in a job, while all parents will receive day-one eligibility for unpaid parental leave. Supporters say these measures could help families balance work and childcare responsibilities more effectively.
Paul Nowak, general secretary of the TUC, said the legislation represents an important shift. According to The Guardian, he said women have long carried the burden of “a sick pay system that is not fit for purpose” alongside insecure forms of work.
Government officials have framed the policy as both an equality measure and an economic strategy. A government spokesperson said the act introduces stronger protections for pregnant women and new mothers and will require large employers to create menopause action plans. The spokesperson added that improving opportunities for women in the workforce is also expected to support economic growth.
The Persistent Financial Impact of Motherhood
The policy changes come as new data highlights the scale of the financial challenges facing working mothers. According to figures from the UK’s Office for National Statistics (ONS), mothers lose an average of £65,618 in earnings by the time their first child turns five.
The analysis tracked pay data from 2014 to 2022 and found that women’s average monthly earnings fall by about 42 percent five years after the birth of their first child. This equates to a reduction of roughly £1,051 per month compared with earnings recorded one year before childbirth.
Further losses accumulate as family size grows. According to the ONS analysis reported by The Guardian, mothers experience an additional average loss of £26,317 after a second child and £32,456 after a third child.
Researchers attribute the decline partly to changes in employment patterns after childbirth. Women are more likely to reduce working hours or temporarily leave paid employment, which can slow career progression and reduce long-term earnings.
Advocates argue that policy reforms such as expanded parental leave and workplace protections could help address these disparities. Alice Martin of the Work Foundation at Lancaster University said the data highlights structural challenges facing working parents.
