100 in 2012 this provision was extended to provide

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100 In 2012, this provision was extended to provide five months of leave for each parent and two jointly shared months that parents may allocate between themselves. 1 0 1 This change is being enacted gradually, and the full 5-5-2 plan will take effect in 2016.102 Prior to the enactment of the Iceland Act in 2000, Iceland's family leave law did not grant an independent right to paternity leave to fathers. 10 3 Instead, in order for a father to receive paid leave, the mother had to elect to provide payments to the father out of payments allocated to her under the law. 10 4 Currently, the right to family leave is non-transferrable, so each parent must take his or her allotted time or forfeit the right.' 0 5 This non-transferrable right to maternity and paternity leave has been termed "the most egalitarian system in the world,"' 1 6 and the granting of an independent right to paternity leave "has spheres of society" by "enabling both women and men to reconcile their work and family life" and mandating that employers "facilitat[e] the return of employees to work following maternity/paternity or parental leave"). 99. See generally Guon' Bjbrk Eydal & Ing6lfur V. Gislason, Iceland 2012- Revised Law on Paid Parental Leave (2013), thjodmalastofnun.hi.is/files/skrar/eydal and -gislason-_paid-parental leave in iceland- _2012_dvelopmen ts-l.pdf (explaining that, although the amount of pay has been altered throughout the life of the law due to economic crisis in Iceland, paid leave has never been entirely eliminated since the law's enactment). 100. Id. at tbl.1. 101. Id. at tbl. 3; see also Iceland Act, supra note 95, § IV, art. 8 (detailing parents' rights for maternity/paternity leave). 102. Eydal & Gislason, supra note 99, at tbl.4. 103. Jonsdottir, supra note 98, at 8-9. 104. Id. at 9. 105. See Iceland Act, supra note 95, § IV, art. 8 (stating the "entitlement shall not be assignable"); but see Maternity/Paternity Leave and Parental Leave, ISLANDIS (Aug. 25, 2014), - and.parental leave (explaining that in special circumstances, leave time may be transferred due to death, disease, or incarceration). 106. HARA & HEGEWISCH, supra note 4, at 11. 20151
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HO USTON JO URNAL OF INTERNATIONAL LA W been the largest step Iceland has taken towards gender equality." 10 7 Perhaps the most marked feature of the Iceland Act is that it sets up a Maternity/Paternity Leave Fund that is administered by the government and is financed through the collection of an insurance levy paid by employers. 108 Leave paid from the Fund is 80% of the employee's regular salary. 10 9 Partly in response to a financial crisis in 2008, a ceiling on wages eligible to be paid was reduced, and some high-income parents were limited to 75%, rather than 80%, of their regular salary. 110 This change was also made because of an unexpectedly high number of fathers taking leave, which resulted in rapid depletion of the leave fund."' This ceiling affected about 50% of fathers and 20% of mothers.
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