We all know how tough the last few years have been. Fire, floods and a global pandemic that’s still out of control. In spite of that Volvo has dropped a huge announcement today. A massive 24 weeks paid parental leave for its employees.
How it works
It’s called the Volvo Cars Family Bond and extends to 40,000+ employees worldwide.
It kicks off on April 1, 2021 and covers all-gender relationships.
There are a few conditions that need to be met, employees need to have served one year’s service to receive the benefit at 80 per cent of their base pay.
Volvo state the Family Bond program covers all legally registered parents, including adoptive, foster care and surrogate parents, as well as non-birth parents in same-sex couples.
Some countries provide zero support for any parent. Keep in mind Volvo is now owned by the Zhejiang Geely group, a Chinese owned company.
“We want to create a culture that supports equal parenting for all genders,” said Håkan Samuelsson, chief executive.
“When parents are supported to balance the demands of work and family, it helps to close the gender gap and allows everyone to excel in their careers. We have always been a family-oriented and human-centric company. Through the Family Bond programme, we are demonstrating and living our values, which in turn will strengthen our brand.”
“This is more than a new parental leave policy for our employees – it is the embodiment of our company culture and values,” said Hanna Fager, head of corporate functions. “We want to lead change in this industry and set a new global people standard. By opting all our employees into paid parental leave we narrow the gender gap and get a more diverse workforce, boosting performance and strengthening our business.”
Naturally, many parents find it hard to take such leave due to fears about career progression.
So, Volvo has made this a pre-selected option. The brand hopes this will create a ‘default effect’ so workers don’t need to um and ah when deciding how much leave they should take or even risk.
This a remarkable deal and one Volvo hopes will resonate with industries everywhere.