New born jaundice happens when a baby suffers from high bilirubin levels in the blood. Bilirubin is a byproduct which is formed when old and worn out RBC are destroyed. The Bilirubin is removed by the liver via stool.
High levels of Bilirubin in the body will make the skin and the white of the eyes look yellow. This state is known as Jaundice. It is normal for the baby’s bilirubin to be a bit on the higher side at birth.