A new study shows that changes to maternity legislation, introduced in April 2007, are resulting in an increased reluctance to employ women, particularly among small and medium-sized businesses (SMBs).

The independent research, commissioned by Citrix Online, a division of Citrix Systems, Inc. surprisingly reveals that 53% of employers believe the new regulations are making some managers think twice about recruiting women.

The Citrix Online survey also uncovered widespread ignorance about the new maternity legislation, with 34% of SMBs unaware of the changes.

What the changes include

These changes include the extension of statutory maternity pay from six to nine months and the removal of qualifying criteria so that all mothers are now entitled to 12 months maternity leave, regardless of how long they have been employed in their position.

The new regulations are the latest in a series of family-friendly initiatives introduced by the government since 2003 to help employees balance work and family responsibilities.

According to the Department for Business, Enterprise and Regulatory Reform, the initiatives have improved employee retention rates, with fewer women now changing employers after they return to work from maternity leave.

Despite this, 30% of employers in the Citrix Online survey thought it would be harder to retain talented women in the workforce and a further 26% believe the latest changes would have a commercially negative impact.

Some positive impact

On the positive side, 72% of respondents felt that the new regulations will cause the more progressive companies to adopt additional flexible working practices to help working mothers manage the demands of work and family.

Currently, 78% of employers allow staff to take a day's holiday at very short notice and 64% offer the option to adjust start and finish time.

However, just 18% offer formal flexitime and only 11% operate job sharing initiatives, according to the research.

One of the key ways companies can support working mothers is by providing them with technology that allows them to work from home as if they were in the office. Yet, the research shows only 43% of SMBs have any technologies in place to support home working, compared to 76% of bigger companies.