The family-friendly future of work isn’t just for tech start-ups and office parks. A groundbreaking partnership between the International Union of Operating Engineers (IUOE) and Parento shows that paid parental leave has a welcome home in traditional, blue-collar workforces too. With over 14 million working Americans belonging to unions, this shift is a unique way for IUOE to support their members where companies fall short.
As of April 1, 2025, thousands of eligible union members with IUOE, AFL CIO affiliate, will gain access to twelve weeks of paid maternity leave. For decades, union members have fought for better pay, safer working conditions, and benefits that truly support working families. IUOE’s announcement continues that tradition by placing maternity leave front and center. This ensures that members don’t have to choose between financial stability and the emotional, physical, and logistical needs of caring for a newborn while physically recovering from birth.
“We understand that family is the foundation of a strong community and a stronger union,” said General President John L. Downey. “No one knew this better than General President James T. Callahan, and on behalf of our entire General Executive Board, I would like to thank him for having the vision to initiate this paid maternity leave benefit program. This new benefit helps our members prioritize their families during life’s most important moments without sacrificing financial security.”
Today, only 27% of private sector employees have access to paid parental leave. This gap is even wider for many hourly and manufacturing workers, who rarely benefit from company-sponsored Short-Term Disability (STD) or Paid Family Leave (PFL) programs. Unions have historically led the charge on expanding paid leave—playing pivotal roles in the adoption of PFL in states like California and Oregon.
But despite these wins, millions of union-affiliated members still live in states without any form of paid parental leave. That makes agreements like the one between IUOE and Parento all the more significant. Research shows that unionized mothers are 17% more likely to use paid maternity leave than non-unionized mothers. Through collective bargaining, lobbying, and community organization, labor unions like IUOE can help fill the current gaps in paid leave from limited state mandated programs or employer-sponsored leave programs.
Parento, a leader in paid parental leave, goes beyond cutting checks. Alongside providing paid parental leave insurance, Parento is a comprehensive parental leave program for new working parents. Through a tailored parent experience with personalized coaching during pregnancy to paid parental leave claims support, Parento transforms “maternity leave” into a holistic wrap-around experience.
“Paid parental leave is a dealbreaker across industries, from STEM to sanitation, factory to pharmaceuticals,” said Dirk Doebler, Parento Founder and CEO. “We’re seeing it become a clear front-runner in employee and member-mandated policies.”
The IUOE’s partnership with Parento is part of a wave of significant steps forward for unions everywhere:
With nearly 32% of public-sector workers belonging to a union, and high unionization rates in construction and extraction (19.1%), this moment carries weight for a broad cross-section of the workforce. IUOE’s decision not only reshapes benefits for operating engineers and stationary engineers; it also makes a statement about where union-led negotiations are headed nationwide.
Paid parental leave strengthens bonds at home and in the workplace. By affirming that supporting families is central to its values, the IUOE continues the labor movement’s proud legacy of setting national standards in worker rights. Parento is honored to team up with such a trailblazing organization and looks forward to helping more unions and industries follow in IUOE’s footsteps. If you’re a union leader, member, or employer interested in exploring paid parental leave solutions, reach out to Parento and help shape a future that values the well-being of working families.
