What’s the Difference Between Concurrent and Non-Concurrent Paid Parental Leave Policies?

When it comes to designing a Paid Parental Leave policy, a confusing decision we hear is whether paid leave policies should run concurrently or non-concurrently for birthing and non-birthing parents. So, what’s that mean? 

Well the distinction between these two options affects how leave benefits are paid out, especially with other programs like Short-Term Disability (STD) or state Paid Family Leave (PFL). 

Don’t worry, we’ll clear up any confusion. Keep reading and we’ll break down the differences between these types of policies and what you need to know for each so you can decide what’s best for your company.

Non-Concurrent Paid Parental Leave

First, let’s talk about a non-concurrent leave policy. In this case, Paid Parental Leave (PPL) doesn’t begin until after STD benefits are paid, if available. And once STD ends, the Paid Parental Leave period begins. Something to note here is that this is only relevant for birthing parents who first receive STD benefits to recover from childbirth, so non-birthing parents (or those without STD benefits) will not have to wait.  

Here’s what this may look like:

Birthing Parent: After childbirth, a birthing parent typically qualifies for STD benefits during the recovery period—often 6 to 8 weeks, depending on the type of delivery. Once STD concludes, the parent’s Paid Parental Leave period commences for bonding.

Example: A birthing parent might receive 6 weeks of STD at a certain percentage of their pay, followed by 6 additional weeks of fully or partially paid parental leave.

Non-Birthing Parent: Because STD is only available for medical recovery, non-birthing parents are not eligible for it. In a non-concurrent plan, they typically receive a set block of Paid Parental Leave for bonding (for example, 6 to 12 weeks), which starts whenever they choose to begin their bonding period.

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Benefits and Drawbacks of a Non-Concurrent Paid Parental Leave Policy

Here are a few things to consider about this type of policy.

Benefit to Employees

• Birthing parents receive distinct periods for recovery and bonding because STD applies to birthing parents for childbirth recovery (typically 6–8 weeks).
• Non-birthing parents still get clearly defined bonding time, though they miss out on STD (as it’s for medical recovery only). That means that if no state PFL exists, their parental leave is otherwise unpaid unless the employer provides coverage.

Potential Drawback

• Only a handful of states offer PFL, so if there is no state PFL program, the time between childbirth and the start of Paid Parental Leave may result in different levels of pay coverage (or none at all, if no STD benefits are provided).
• If a state offers PFL, the employer’s paid policy typically coordinates or offsets these benefits.

Concurrent Plan Paid Parental Leave

Next, let’s look at a concurrent policy. This means that Paid Parental Leave runs at the same time as any STD benefits for birthing parents. During this overlap, STD provides one portion of pay, and the Paid Parental Leave “tops up” to reach a higher wage replacement level. 

Here’s what we mean:

Birthing Parent: With a concurrent policy, the employee’s STD benefits begin immediately upon childbirth. Meanwhile, Paid Parental Leave also starts, effectively layering coverage. If the Paid Parental Leave policy is more generous (e.g., 75% pay) than STD (e.g., 60% pay), the employee’s overall pay for that period might be increased to the higher percentage.
Example: A birthing parent who qualifies for 60% STD could be “topped up” to 75% through the Paid Parental Leave plan during the same 6–8-week recovery period.

Non-Birthing Parent: Since non-birthing parents do not qualify for STD, they simply receive the paid parental leave benefit for bonding time, similar to the non-concurrent approach. The length of this bonding period often ranges from 6 to 12 weeks.

Benefits and Drawbacks of a Concurrent Paid Parental Leave Policy

And of course, here are a few things to consider about this type of policy.

Benefit to Employees

• Birthing parents may experience a higher immediate level of wage replacement because STD and Paid Parental Leave combine during the recovery period.
• Eliminates a “gap” between different types of benefits.

Potential Drawback

• If the total number of paid weeks is the same as in a non-concurrent policy, some of those weeks get used up during the recovery period rather than being reserved entirely for baby bonding after recovery.

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So, Which Policy Should You Choose?

Selecting between concurrent and non-concurrent Paid Parental Leave policies depends on your organization’s budget, culture, and the existing benefits landscape (like STD and state PFL programs). Employers should confirm state regulations to ensure policy compliance and optimal benefit coordination. A non-concurrent plan can provide a clear separation between recovery and bonding time, while a concurrent plan consolidates these benefits for birthing parents, often resulting in a higher wage replacement during the recovery period. 

Employers in states lacking PFL can fill coverage gaps by offering a robust Paid Parental Leave policy to support all new parents. The policy should state clearly whether Paid Parental Leave is concurrent or non-concurrent and detail how it interacts with STD and PFL programs. Whichever route you choose, clarity in policy design and communication is essential for ensuring new parents fully understand and maximize their benefits.

Design a Paid Parental Leave Policy with Parento

Designing an effective parental leave policy that balances financial security, legal compliance, and family well-being can be a complex process. Parento simplifies this challenge by offering expert guidance tailored to your organization’s specific needs. From navigating Short-Term Disability and state-level Paid Family Leave laws to deciding between concurrent or non-concurrent structures, Parento’s data-driven approach helps ensure that every new parent—birthing or non-birthing—receives the support they deserve. By partnering with Parento, employers can craft a leave policy that not only attracts and retains top talent but also fosters a more inclusive and family-friendly workplace culture.