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Derbyshire and Nottinghamshire Chamber of Commerce today says new paternity laws which will allow new fathers to take up to six months' paid leave following the birth of their child will place a massive burden on small firms in Nottinghamshire/Derbyshire.

The Government has announced that new fathers are to get the right to take six months' paternity leave, despite concern over the impact on businesses struggling to recover from the recession. Ministers will press ahead with the plan, which was delayed because of the economic downturn.

Around 400,000 men a year will qualify for the right to a big extension in their time off work, coming into force from April 2011. Currently, they can only take two weeks off after having a child, and about 60% of eligible men take up the offer.

The reforms mean parents will be able to decide how to divide up a total of 12 months of parental leave between themselves. A mother going back to work after six months' off will be able to transfer the rest of her leave to her partner. They will be paid the statutory rate of £123.06 a week up to the 39 week cut off period for women, after which the leave will be unpaid.

Richard Wilkins, President of the Derbyshire and Nottinghamshire Chamber, said: "The administration of statutory maternity leave can be a major headache for small firms, and this will only increase the bureaucracy they now have to face. 

"More support must be given to the business sector - and especially small firms of ten people or less - to help deal with the administrative burdens and additional costs that this legislation will place on them.

"The economy is still not back to full health and businesses are already bracing themselves for the upcoming increase in National Insurance contributions which will cost a collective £14bn. These new paternity rules will place even more pressure on firms that are already struggling under the sheer weight of existing employment red tape."