Dog and new Baby worries

[JarJarGabor]

We have a German Shepherd who is TOTALLY obsessed with my DH. He follows him literally everywhere, and gets depressed if he leaves him for a minute, even if just to go to the toilet, the dog will pine outside. It doesn't seem very healthy to me but I don't know that much about dogs... my DH seems to encourage the behaviour.

He (the dog!) has full run of the house, and sleeps by my husband's side of the bed at night. I've turned a blind eye to this although I don't really like the dog being in our room... he doesn't usually stay there though and will tend to go out on the landing or downstairs after 10 minutes of lights out. Sometimes I tell him to leave if he's huffing and being generally annoying, and it's pretty much the only time he obeys me instantly.
When my husband is away overnight the dog won't come up to our bedroom at all, he just stays downstairs of his own accord.

I can put up with it all but we have our first baby due in October and I'm worried how the dog is going to react to my DH suddenly having something else he needs to give full attention to. Also we plan to have the baby in our room for a little bit, in a moses basket with a stand, and I'm just not happy with the dog being there as well. He's a massive dog and there's not really the space for him apart from anything else. I don't want him to feel he's just being kicked out of his own territory because of a new little person though . My DH seems to think I'm being harsh and there's no reason they can't both be in with us.

I think he's going to be jealous whatever, but is there anything we can start doing NOW which would reduce the impact in October when baby arrives?

[multitask]

You need to retrain the dog NOW.. hubby will need to be told in no uncertain terms that dog must be treated like a dog from now on and have boundaries. Without being cruel he just needs a bit of training, and so does the dog!