Firms, such as those using serviced offices in Edinburgh, may be behind the government's decision to lobby against the Pregnant Workers Directive.
Director of Bytestart Emyr Williams stated that the coalition is correct to stand against European Parliament proposals that would allow women to take 20 weeks away from work while they have a child at full pay.
"Estimates are that extending maternity leave on full pay to 20 weeks would cost the economy over £2 billion and would hit small firms particularly hard," he noted.
Mr Williams added that many businesses, such as those in offices to rent, would struggle to cover the costs and may be tempted to avoid taking females into their company who they feel may fall pregnant.
According to the Department for Business, Innovation and Skills, minister for employment relations Edward Davey attended a meeting in Brussels earlier this week, where he argued that the proposals will prove to be extremely expensive to firms.
