The existing right for parents to take leave from work is to be extended from three to four months per parent, following a European Council meeting yesterday.

The directive is to be applied to EU member's national laws within two years.It also promises smoother transitions back to work through flexible work arrangements and protections against discrimination, according to a statement issued by EU officials.

Simon Rice-Birchall, partner at  Eversheds, said: "The European Council's decision comes as no surprise as the extended rights were negotiated and agreed between employer and employee groups earlier this year. UK law, which currently guarantees 13 weeks' parental leave, will have to be changed by early 2012. But, in practice, giving parents the right to an extra month's leave is unlikely to have a big impact on UK employers.

"Under current law there is no obligation to pay workers who are on parental leave and nothing in this new proposal changes that. The fact that leave is unpaid means that relatively few workers take advantage of parental leave rights."