What If An Employee On Parental Leave Starts Working For Someone Else

What do you do if an employee on parental leave starts working part-time for someone else?


It’s a good question and probably something you haven’t thought of … unless it has happened to you.

It would be completely understandable if your initial reaction was anger and disbelief. However, you can’t manage employee issues motivated by emotion. You need to take a considered view and obtain the best help possible.


There are 2 aspects to answering this question on what you should do.

1. Check the employment agreement for that employee to investigate the employee’s obligations regarding outside employment.


The general rule of thumb is an employee on parental leave cannot take on any activity that is inconsistent with their employment agreement. If they do, it may negate the current agreement. But obtain expert advice before acting.

2. What’s the underlying cause of the employee seeking work elsewhere?


Happy employees don’t seek work elsewhere – especially while on parental leave. So ask yourself, what’s gone wrong?

In the time before parental leave is taken, you need to speak with your employee about their potential leave requirements and the hours they wish to work when they return. While it’s not always possible, there may be opportunities for your employee to return to work in a part-time capacity.

There is also the option of providing flexible work arrangements that could allow late starts, early finishes and/or hours worked at home.

This type of open discussion regarding leave requirements and a return to work strategy keeps everyone on the same page and working towards a productive return to work. But remember, it doesn’t stop once they’re back. This type of discussion needs to continue throughout their employment to ensure you retain productive, loyal and dedicated staff.


Importantly, during parental leave, stay in touch with your employee by:

  • Inviting them to special lunches or departmental get-togethers
  • Keep them informed on business successes or changes in policy
  • Ring them to see how they are going and talk about what’s happening in their life


Open communication with employees is always important but even more so before, during and after parental leave is taken.

For help with managing tricky employee issues, trust the team at End2End Business Solutions. For assistance, call them on 02 8977 4002.