Debate Magazine

An Economist Speaks

Posted on the 10 February 2015 by Markwadsworth @Mark_Wadsworth

from the Telegraph
But Ms Reeves dismissed those concerns, telling BBC Radio 4 Today that “good” businesses that “value” employees will support Labour’s plans.

“This is exactly what people used to say about maternity leave, that it was a big burden on businesses. But the reality is, what good businesses know, is that it is really important to keep women in the workplace once they have children and not let them drift off because they can’t manage work and family life. That’s increasingly the case for dads.”
“Good employers like Asda, National Grid and Citibank are already giving more than the statutory paternity leave.”
“What good businesses know is that unless they give that flexibility to mums and dads, they are likely to lose their best employees as they will go to a business that does value them, or they will sadly drop out of the workforce altogether.”
So, why does it need more government legislation? If it's in the interest of businesses, they'll do it. Now, maybe Rachel Reeves knows better than those businesses, but as someone who's only worked at HBOS, one of the failed banks, I think that's unlikely.
And ASDA aren't like a software or manufacturing company that can be based anywhere in the world. Adding 2 weeks paternity leave makes people here more expensive. OK, maybe only slightly more expensive, but "only slightly" can tip the balance in favour of another supplier.
As for maternity leave, I know a company that closed down a software team in the UK for this reason. Hiring staff that come in and within a year go off on maternity leave for a year introduces huge costs, most notably, backfilling with expensive temporary staff. It increased their staff costs by 10% over a 2 year period, which was enough to shut down the team and expand the team in the USA.

You Might Also Like :

Back to Featured Articles on Logo Paperblog

These articles might interest you :

  • Notes on Jake ~ 10 Months Old

    Notes Jake Months

    It's hard to believe that we've only had Jake for a little over four months. This summer has flown by and Jake has become such a part of the family that it feel... Read more

    14 hours, 55 minutes ago by   Hikingwithheather
    OUTDOORS, TREK
  • Banana Coconut Bread

    Banana Coconut Bread

    (recipe adapted modify slightly from Cuisine Paradise)Ingredients:3 large eggs120g ripe bananas, mashed3 Tbsp maple syrup40g coconut oil1 Tbsp rum1/4 cup... Read more

    15 hours, 12 minutes ago by   Cathysjoy
    FOOD & DRINK, RECIPES
  • Learn How To Write A Blog With These 13 Tips

    Learn Write Blog With These Tips

    The idea of creating your blog has been around for a long time. For many companies, blogs have become a tool that increases the potential of an online... Read more

    The 20 August 2018 by   Kharim Tomlinson
    BUSINESS, SOCIAL MEDIA
  • Play It By Beer, Brad Saunders Interview + 5 Quick Questions

    Play Beer, Brad Saunders Interview Quick Questions

    Brad Saunders has had a busy year. And the latest buzz, thanks to his most recent single Play It By Beer, has him planning on staying busy. We caught up with... Read more

    The 20 August 2018 by   Phjoshua
    LIFESTYLE, SELF EXPRESSION
  • Dan Lawson’s JOGLE FKT Record Attempt Over

    Lawson’s JOGLE Record Attempt Over

    British 24 hour international, Dan Lawson set off from John O Groats on August 13th at 6:00 am and is currently in the Mendip Hills south of Bristol. This... Read more

    The 20 August 2018 by   Abichal
    OTHER SPORTS, OUTDOORS
  • The European Union Just Made Bioenergy Worse for Biodiversity

    European Union Just Made Bioenergy Worse Biodiversity

    While some complain that the European Union (EU) is an enormous, cumbersome beast (just ask the self-harming Brexiteers), it generally has some rather laudable... Read more

    The 20 August 2018 by   Bradshaw
    ENVIRONMENT
  • The Romantics

    Romantics

    These two words conjure an image in my mind of running through fields with flowers in my hand and my beloved running after me, very much like the Bollywood film... Read more

    The 20 August 2018 by   Ashleylister
    BOOKS, CREATIVITY, CULTURE, SELF EXPRESSION

Magazine