The Future of Parental Leave: Essential Policies Every CHRO Needs to Know

You’ve probably noticed just how much today’s workplace has changed compared to previous years. As it continues to evolve, parental leave policies are also evolving to meet new expectations. For Chief Human Resource Officers (CHROs), keeping up with these trends is essential to both retain and attract top talent. Want to implement forward-thinking policies that can improve your workplace culture and improve your bottom line? Policies that show you value family, flexibility and fairness can go a long way. Let’s take a look.

1. Extended Parental Leave for All Parents

As workplaces strive to be more inclusive, the importance of shifting the wording (and underlying policy) from "maternity leave" to "parental leave"  is essential – as this improvement applies to all parents, regardless of gender. Extended parental leave for both mothers and fathers is no longer just a perk—it’s essential for staying competitive in the workforce. Data shows that providing 12 weeks of paid parental leave can reduce employee turnover by up to 70%. It also works wonders for employee morale. As such, CHROs should aim to offer a minimum standard of parental leave that supports bonding time for any parent, while also reinforcing gender equality.

Actionable Tip: Consider benchmarking your leave policies against industry leaders. Offering leave to all types of parents—biological, adoptive, and foster—not only ensures inclusivity but also appeals to a broader talent pool. Not sure how to do that? CARRY™ Consulting can help with that.

2. Flexible Return-to-Work Programs

The transition back to work is a critical and delicate moment for new parents, and the one-size-fits-all approach rarely meets everyone’s needs. Gradual return-to-work programs that allow parents – especially those considered the primary parent – to ease back into their roles through part-time options or flexible hours can make a huge difference in their comfort and productivity. Acknowledging that a new parent might be dealing with a lack of sleep, attachment concerns, and a new schedule signals to them that your workplace culture is one of empathy and support. Offering a phased return not only helps these parents adjust but also fosters loyalty and long-term engagement. When they feel supported, they’re more likely to stay put.

Actionable Tip: Offer a range of options such as part-time work, remote days, or a phased-in return. Don’t assume that a certain approach is necessarily the “right” one for everyone. Additionally, regular check-ins with employees during this time can help them feel supported and valued.

3. Remote Work and Flexible Scheduling as Norms

With the rise of remote work, flexible scheduling has become an essential part of supporting parents – especially working mothers. Allowing new parents to work from home, adjust their hours, or work in hybrid arrangements gives them control over their schedules, which can reduce stress and increase productivity. What’s more? Companies that incorporate flexible work arrangements tend to hire more women. Without the flexibility, moms are often forced to choose between their career and their responsibilities at home – specifically regarding childcare.

Actionable Tip: Encourage managers to permit flexible schedules and work-from-home options that align with their team’s needs. This approach not only builds a culture of trust and respect, but also results in overall job satisfaction, improved morale, and employee retention.

4. Paid Family Caregiver Leave

Not all caregivers are necessarily parents. In fact, over 70% of employees identify as some kind of caregiver —which includes parents, but also those caring for family members and aging parents, and those who are guardians. As more people find themselves supporting aging parents or family members with special needs, paid caregiver leave ensures that employees don’t have to choose between their family responsibilities and their job.

Actionable Tip: Consider creating a separate category for caregiver leave to meet the needs of your diverse workforce. Make sure that your policies are inclusive of different family structures, from caring for elderly parents to siblings in need.

5. Mental Health and Wellness Support for New Parents

Parental leave policies are only the beginning. As we mentioned above, returning to work as a new parent can be challenging. That’s why mental health support can make a notable difference in this transition. CHROs should consider policies that offer access to counseling, parenting support groups, and wellness resources to ensure that new parents feel supported, not overwhelmed. A happy employee is a productive employee – so these policies are not only nice to have – they can have a direct result on the health of your business.

Actionable Tip: Partner with employee assistance programs (EAPs) or mental health services to offer counseling and parenting resources. You can also create on-site or virtual support groups specifically for new parents that can foster community and reduce isolation. Providing a space where parents and caregivers in your organization can come together can greatly improve workplace culture and employee morale.

6. Paid Parental Leave Extensions for Special Circumstances

Unfortunately, parental leave doesn’t always go as planned, and sometimes, parents need more time due to unforeseen circumstances. Extended leave policies for preterm births, NICU stays, or special medical needs can support families through these difficult situations without additional financial or emotional strain. We’ve seen countless situations play out in the media where employees with newborns in the NICU not only lacked employer support, but were fired. Ignoring the needs of your vulnerable employees is never the way to go – and going the extra mile for them while they navigate a stressful situation can be meaningful not only for them, but for your company as well.

Actionable Tip: Offer an “exceptional circumstances” clause to extend parental leave for parents facing medical complexities. It sends a strong message of empathy and commitment to employee well-being.

Modern parental leave policies are about more than just time off—they reflect a company’s values and commitment to its employees’ well-being. By implementing these essential policies, CHROs can create a culture that not only attracts top talent but also ensures that working parents feel supported at every stage. Investing in these policies will not only benefit parents but will strengthen your organization’s overall resilience, loyalty, and morale.

Let’s Take the Next Step Together

Training leaders to support caregivers in the workplace is the foundation of the CARRY™ Consulting process. Book a consultation with CARRY™ Consulting today to enhance your caregiving strategies and start driving real change in your organization.