WASHINGTON, Nov. 23 /PRNewswire-USNewswire/ -- "The government could improve its recruitment and save money on turnover costs by providing paid leave benefits that most Fortune 100 companies use to keep their best employees loyal and avoid costly recruitment and retraining," according to Kevin Miller.

Dr. Miller is one of the authors of The Need for Paid Parental Leave for Federal Employees: Adapting to a Changing Workforce, a report on parental leave released in Washington today by the Institute for Women's Policy Research (IWPR).

Two-thirds of Fortune 100 companies offer paid maternity leave, and a third also offer paid paternity leave, according to the report. Most other developed countries have national leave programs that provide much more leave than even the best American companies. The federal government, America's single largest employer, offers neither maternity nor paternity leave to its employees.

The lack of parental leave benefits costs the government several thousand trained workers every year, according to the new report. IWPR calculates that the federal government could prevent 2,650 departures per year just among female employees by offering paid parental leave, preventing $50 million per year in turnover costs.

Turnover costs include the expense of recruiting new employees, the relatively low productivity of new workers, drains on the productivity of colleagues and supervisors, human resources processing, training, and the productivity lost between the departure of one employee and the hiring of a replacement.

"Paid parental leave is important not just because it improves family well-being and employee morale, but because it benefits the bottom line by attracting and retaining talent," according to IWPR President Heidi Hartmann.

Though federal sick and vacation leave are comparable to those provided by private sector competitors, it takes new federal employees years to accrue sufficient leave to take parental leave. IWPR calculates that new federal employees, many of whom are young professionals, must work for over four years to accrue enough paid leave to receive pay during the 12 weeks of leave guaranteed under the Family and Medical Leave Act.

"While the federal government is generally known for its good employee benefits, in the area of paid parental leave it lags behind the private sector," said IWPR Executive Director Barbara Gault. "If we are to truly realize the President's goal to make the federal government a model for good work-life balance, the first step is simple: provide paid parental leave."

Balancing work and family is particularly important to young college graduates entering the workforce. Two-thirds of college students say that balancing work and family is a priority for them, according to a report by the Partnership for Public Service.

Overall, federal employees are less satisfied with their jobs and employers than are employees of private companies. Federal employee satisfaction with their work-life benefits averages only 43%, and younger workers are less satisfied than older workers with the paid leave they receive, according to data cited in the report.

"With baby boomers reaching retirement age, employers have to attract young workers, and young workers want jobs that let them raise a family. That's one reason that some of the most successful firms offer parental leave benefits," according to report co-author Allison Suppan Helmuth.

The IWPR report cites research showing that new mothers who are able to take leave are more likely than those without leave to return to work within three months of giving birth. Women with paid parental leave are more likely to return to the same employer after the birth of a child.

When Aetna increased the length of its maternity leave, retention of new mothers increased from 77% to 91%, according to research cited in the report. Workplace flexibility improves workers' commitment to their employer and work-life balance is a leading concern cited by employees deciding to remain with their employer.

A bill to provide federal workers with paid parental leave, the Federal Employee Paid Parental Leave Act, introduced by Congresswoman Carolyn Maloney and Senator Jim Webb, was passed by the House of Representatives in June. It is currently under consideration in the Homeland Security and Governmental Affairs Committee of the U.S. Senate.

"By providing paid parental leave, the federal government would better meet the needs of a 21st century workforce in which the vast majority of families with children have either two parents working or one single working parent," said Heidi Hartmann, IWPR President.

The IWPR report was made possible by funding from the Rockefeller Family Fund, with additional funds from the Annie E. Casey Foundation and the Ford Foundation.

The Institute for Women's Policy Research (IWPR) conducts rigorous research and disseminates its findings to address the needs of women, promote public dialogue, and strengthen families, communities, and societies. IWPR's work is supported by foundation grants, government grants and contracts, donations from individuals, and contributions from organizations and corporations. IWPR also works in affiliation with the women's studies and public policy programs at The George Washington University.

The Executive Summary and full report are available online at www.iwpr.org.

SOURCE Institute for Women's Policy Research

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