Finland’s overhauled parental leave policies have doubled paternity leave uptake, showing the power of equal time, robust wage replacement and better flexibility. What can Canada learn here?
Earlier this month, Finland made international news for an interesting reason: In the wake of a major overhaul of their parental leave policies in 2022, the uptake on paternity leave has doubled from pre-reform levels, averaging 78 days per father versus 44 in 2021. This is a direct result of Finland’s goal to dismantle the traditional gendered approach to leave, by allotting each parent 160 days of paid parental leave to be used before the child’s second birthday (single parents will receive both allotments). The idea is that this evening up of paid parenting time will encourage more equal participation in child-rearing.
Other changes benefit the family system in other ways: Up to 63 days can be transferred to another caregiver, such as a grandparent or stepparent, and birth parents receive an additional 40 days of pregnancy leave, usually beginning 30 days before a baby’s due date.
As shown by the jump in parental leave stats, this bold approach appears to be paying off. So, what can Canada learn from Finland? Should we be looking to revamp our approach to parental leave as well?
Paternity leave in Canada, by the numbers
On paper, Canada’s parental leave policy isn’t that far off. Parental leave employment benefits offer shared time off for both parents, providing up to 35 weeks of standard benefits, or 61 weeks of extended benefits. Additionally, the federal government introduced a “use it or lose it” policy for pat leave in 2019, offering an additional five weeks as an incentive for fathers to take time off.
There is also some flexibility to starting maternity leave, for the parent who is giving birth, prior to a child’s arrival. This is useful for those experiencing pregnancy complications. Typically, the earliest someone can start to receive benefits is 17 weeks before a baby’s due date.
So, overall, the infrastructure is there. The available support is pretty robust, in comparison to other countries around the world (*cough* USA *cough*). So why do fathers only account for 15 to 20 percent of parental leave claims in Canada? What needs to change? (By the way, Quebec is an outlier on this front. More than 80 percent of dads in Quebec take leave, compared to less than 15 percent in the rest of the country.)
What Finland is getting right with paternity leave
The difference appears to be less about time and more about finances and flexibility.
Financial hardship
It’s great to give people up to 18 months off to spend with their new babies, but if their income is going to take a hit, they’re going to be less likely to take advantage of the allowance. In Canada, standard parental leave benefits provide up to $668 a week for 35 weeks, or $401 a week for up to 61 weeks. If you do the math, that means taking the full parental leave only makes sense for people who bring in between approximately $25,000 and $40,000 a year. Anyone above that pay bracket who doesn’t receive a top-up from their company is going to take a major pay cut.
In Finland, wage replacement during parental leave is around 70 to 80 percent of a person’s salary. That’s huge in comparison to Canada, and of course this support makes it easier to take time away from one’s job.
Keeping things flexible
Here in Canada, standard parental benefits must be used within 52 weeks of a child’s birth or adoption. Extended benefits must be used within 78 weeks of a child’s birth or adoption. But here’s the kicker: Once you select an option, you can’t change it. In theory, you could break the available time up into non-consecutive weeks, but you must submit an application every time you plan to receive parental benefits.
In Finland, you can break your 160 days into up to four chunks of time, to be used any time before your child turns two. If you want to take all 160 days at once, that’s no problem, but you have the option to schedule intermittent leaves to better suit your family. You don’t need to re-apply for each period of time; it’s all included within one parental leave benefit claim.
Removing the stigma of paternity leave
Despite policy improvements for paternity leave, there is still a bias (whether conscious or unconscious) around taking pat leave. Many fathers worry about the perception of being less committed to their careers and companies if they take time off. This is especially true in male-dominated industries, where traditional gender roles are a little more prevalent. According to a 2019 survey by brand Dove Men+Care, 51 percent of Canadian men worry that taking paternity leave will negatively impact their relationships with their managers. Unequivocally, this needs to change—both for the benefit of mothers whose careers still suffer the “mommy penalty” when they take time off to have a child, but also for the relationship between children and fathers. There’s no better way to develop a strong bond than dedicated time and energy. Especially when those kids grow up and realize that both of their parents took time off for them in the early days.
