Neonatal staffing levels across Wales is cause for 'serious concern', according to an inquiry by the National Assembly Committee.
Around one in nine babies born here are admitted to one of Wales' 13 neonatal units each year.
But the Children and Young People Committee heard that a shortage of trained neonatal nurses is affecting every health board.
It also found the nurse-to-baby staffing ratios 'far from meet' the benchmark set out in the All Wales Neonatal Standards.
According to the Committee, the shortage has resulted in a number of health boards relying on paediatricians rather than dedicated neonatologists to support their neonatal services - a move the Committee describes as 'alarming'.
It's now calling on the Welsh Government to ensure all health boards have plans in place for dealing with staffing shortfalls.
The inquiry was set up to assess the Welsh Government's progress since a previous inquiry two years ago found that units at Welsh hospitals were 'understaffed, ill-equipped and over-capacity'.
A report at the time made 18 recommendations, all of which were accepted by the Welsh Government.
Ms Chapman went on to say that although progress has been made since then, more improvements are needed.
The Children and Young People Committee also found that more must be done to ensure that babies requiring special care are occupying the most appropriate cots for their needs - with access to high-dependency cots a particular problem.
The Welsh Government says it 'acknowledges further improvements are needed' and believes 'service change across NHS Wales will help deliver these improvements.'
Bliss, the charity for premature and special care babies, says it welcomes the inquiry's findings.