Parental Leave

Parental leave is a period of authorised absence from work granted to parents following the birth, adoption, or fostering of a child. It is designed to give mothers, fathers, and in some cases, legal guardians, the opportunity to bond with their child and adjust to the new responsibilities of parenthood. Parental leave may be paid or unpaid, and policies vary significantly between countries and employers.

Parental leave is crucial for promoting the well-being of families, supporting early child development, and reducing stress for new parents. It allows time for bonding, recovery (especially post-birth for mothers), and a smoother transition into parenthood. From a societal standpoint, comprehensive parental leave policies contribute to gender equality in the workplace and encourage a more balanced distribution of caregiving responsibilities between both parents.

Parental leave types may differ according to different company policies or the country’s labour policies. Here are the most common types of parental leaves:

Paid parental leave

Paid parental leave provides financial compensation to employees during their time away from work. The level of pay and eligibility conditions depend on local laws and employer policies. Countries with generous paid leave policies tend to see better health outcomes for children and increased workforce retention.

Unpaid parental leave

Unpaid parental leave allows parents to take time off without receiving wages. While not financially supported, it is a legal entitlement in many countries, giving parents the flexibility to prioritise family needs without risking their employment.

Shared parental leave

Shared parental leave allows both parents to divide the leave period between them. This option is designed to promote shared caregiving and support work-life balance for both mothers and fathers. It can be taken sequentially or concurrently, depending on local regulations.

Other types of parental leave

• Adoption leave: Granted to adoptive parents, similar to biological parental leave.
• Foster care leave: Available in some countries for temporary guardianship situations.
• Extended parental leave: Optional unpaid leave taken beyond the statutory period.

Eligibility for parental leave usually includes biological and adoptive parents, and in some jurisdictions, foster parents and legal guardians. The specific criteria often depend on employment status (full-time vs part-time), length of service, and national labour laws. Both mothers and fathers are generally entitled to some form of parental leave.

For businesses seeking to support global teams, Native Teams’ Employer of Record services help ensure compliance with local parental leave laws across different jurisdictions.

Whether parental leave is paid depends on the country, the employer, and the type of leave taken. Some nations offer government-funded paid leave, while others leave it to the discretion of employers. In some cases, partial pay or flat-rate allowances are provided. For more on how compensation works globally, visit our guide on Global Payroll Solutions.

Parental leave regulations vary widely. Here are examples from a few countries:

• Sweden: Offers up to 480 days of paid parental leave, which can be shared between parents. Learn more in our Sweden Hiring Guide.
• Germany: Provides up to 14 months of paid leave if both parents share the time. Visit our Germany Hiring Guide for details.
• United States: No federal paid parental leave; unpaid leave is available under the Family and Medical Leave Act (FMLA). Read our US Hiring Guide.
• Philippines: Offers paid maternity and paternity leave with increasing options for shared leave. See our Philippines Hiring Guide.

Explore more in our full collection of Country Hiring Guides.

Maternity leave specifically refers to time off granted to mothers around childbirth, typically including both pre- and post-natal leave. Parental leave, on the other hand, is a broader term that can apply to both parents and may follow maternity or paternity leave, depending on the structure of national policies.