Maternity Leave and People + Culture: We Have Work Left to Do

Maternity leave in Canada stands as one of the most progressive policies worldwide, offering considerable support to new parents. But, despite its strengths, we are still coming up short in ensuring quality, comprehensive support for all families in Canada.

The Current State of Maternity Leave in Canada

Maternity leave is part of Canada’s broader Employment Insurance (EI) program. Expectant mothers who have accumulated at least 600 hours of insurable employment in the past 52 weeks are eligible for up to 15 weeks of maternity benefits.

Following this, parents can then share up to 40 weeks of parental leave, with each parent claiming up to 35 weeks. The parental benefits can be taken as standard benefits, offering 55% of the average weekly earnings (up to a maximum amount) for up to 35 weeks, or extended benefits at 33% for up to 61 weeks. Even having access to some kind of leave coverage can be hugely beneficial for families as they transition into this new and (sometimes) overwhelming stage of life. .?

Key Strengths of the Canadian System

Inclusivity: The system is designed to be inclusive, allowing both parents to share parental leave. This promotes better gender equality by encouraging fathers to take an active role in early childcare.?

Flexibility: Parents can choose between standard and extended parental benefits, providing flexibility to families in different financial situations and who have different needs. Not every maternity or parental leave is the same, so the flexibility allows people to access what works best.?

Job Protection: Employment standards legislation across Canada mandates that employees are entitled to job protection during their leave. This ensures that parents can return to their positions after their leave period. Parents can rest easy knowing that their role (or a comparable one) will be waiting for them when they return.?

We Have Work Left to Do

Despite these strengths, several areas within the Canadian maternity and parental leave system require attention and improvement.

Benefit Levels: The current EI benefits, even at 55% of average weekly earnings, may not be sufficient for many families, especially those with lower incomes. The maximum insurable earnings cap means that higher-income families might find the benefits inadequate to cover their expenses. As of January 1, 2024, the maximum yearly insurable earnings amount is $63,200. Increasing the benefit rate or the maximum insurable earnings could alleviate financial stress for many families, especially during periods of inflation and high costs of living.

Access for Self-Employed and Gig Workers: While self-employed individuals can opt into the EI program, many do not due to the upfront cost and lack of immediate benefits. The gig economy's rise has also left many workers without adequate maternity and parental leave coverage. Expanding coverage to include more flexible and accessible options for these workers is crucial.

Regional Disparities: Variations in provincial and territorial regulations can lead to inconsistencies in leave duration and benefits. Standardizing maternity and parental leave policies across the country could ensure equitable access for all Canadian families, regardless of their location.

Support for Non-Traditional Families: The current system is predominantly designed around traditional family structures, often overlooking the needs of LGBTQ+ families, adoptive parents, and surrogates. Adapting the policies to be more inclusive of diverse family dynamics would significantly increase the number of Canadians who can access these benefits.

Childcare Availability and Affordability: While not directly part of maternity or parental leave, the availability and affordability of childcare are significant factors affecting new parents. Enhancing support for affordable childcare options would complement maternity and parental leave policies, helping parents transition back to work smoothly.

Recent Conversations

Beyond these shortcomings, Maturn, a Canadian company looking to shift the overall narrative on maternity leave in our country, recently conducted a survey of 1,000 mothers about their experiences and the results show that we still have a long way to go, especially in terms of women and their careers.

Here are some of the key insights they discovered:

• 49% of respondents reported the most challenging career-related part of maternity leave was the feeling of having to prove themselves upon their return.
• 52% of respondents were anxious about returning to work after maternity leave, and 38% said that maternal mental health support would have made their maternity leave and return to work better.
• 43% of respondents said overall flexibility would have made their transition to maternity leave and return to work better, making it clear that the ability to scale back from the traditional 40-hour workweek is not just a convenience but a necessity.
• Almost half of the respondents didn’t receive any additional benefits beyond basic Employment Insurance during maternity leave, indicating a significant shortfall in employer support.
• Most alarmingly, nearly half of the survey’s respondents reported dissatisfaction with their organizations' support during maternity leave, and a third of mothers contemplated leaving their jobs due to inadequate support from their employer.

Unless the employer truly already believes in supportive maternity leave as part of a total compensation philosophy, we have a long way to go to highlight why it is so important. As our nation continues to struggle with hiring, wage disparity, retention, and work environments, refocusing or at least revisiting maternity and parental leave policies would be an excellent place to start. Creating robust and supportive leave policies can become part of what makes you a great company to work for, ensuring you’re attracting and keeping the best talent.?

Now What?

Canada’s maternity leave policies provide a solid foundation of support for new parents, reflecting the country’s commitment to family welfare and gender equality. However, there is always room for improvement. Addressing the financial inadequacies of the current benefits, expanding coverage for self-employed and gig workers, standardizing policies across regions, ensuring inclusivity for non-traditional families, and truly changing the narrative on new families and how it impacts careers are essential steps towards a more equitable system. By continuing to refine and enhance these policies, Canada can ensure that all families receive the support they need during one of the most critical periods of their lives.

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