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24 February 2010 Plans to extend paid maternity leave passed by EU

Draft legislation to extend maternity leave to 20 weeks on full pay has been given the go-ahead by the European Parliament committee.

Under current European rules pregnant women are entitled to receive their full salary for 14 weeks of their leave. New mothers in the UK may take a year off work, with the first six weeks on 90% pay followed by 33 weeks on the statutory maternity pay rate. The remainder of the leave is unpaid.

The proposals, which will go before the full European Parliament in March, have prompted concern from the British Government and business leaders.

Experts predict that the Treasury may be forced to find an extra £2 billion if the EU plans become law.

Commenting, the UK's Employment Relations Minister, Lord Young, said: ‘A substantial increase in maternity leave paid at full or near-full pay risks undermining this delicate balance at a time when economies across the EU can least afford it.’

Meanwhile, a spokesman for the Institute of Directors said the directive was a ‘massive worry’ for the organisation.