Up to 18 weeks paid parental leave is set to be introduced throughout Australia from 1 January 2011
The Federal Government has for some time been flagging its intention to introduce a paid parental leave scheme in Australia. The Bill is currently before the Senate and if passed will commenced from 1 January 2011. Key aspects of this entitlement are:
- There will be up to 18 weeks' paid parental leave per child, paid in instalments at the national minimum wage as prescribed under the Fair Work Act 2009 (Cth). More than one person may take a period of paid parental leave in relation to the same child, but the total period of paid leave in relation to that child must not exceed 18 weeks. For example, one parent may take 10 weeks of paid parental leave and the other 8 weeks.
- The period of paid parental leave is not additional to the period of unpaid leave available under the Fair Work Act. This period of paid parental leave will be taken at the same time as the equivalent proportion of unpaid leave.
- The Bill does not allow employers to reduce the quantum of an existing paid parental leave entitlement, already available to an employee under an agreement, contract or policy.
- It is funded by the Federal Government, but the payments will generally be administered by the employer. Between 1 January and 30 June 2011, employers will have the option of referring workers to the Family Assistance Office rather than administering the payments themselves.
- Payments may commence from the date the child is born or later and may also be made in cases of adoption, with the date of placement of the child as the key date. The claim for parental leave must be made in the period between three months before the expected date of birth and the child's first birthday.
We will keep you posted on the developments of this Bill...............
STOP PRESS: The scheme was passed into law on 17th June 2010 and will provide eligible parents (income cannot exceed $150,000 per year) with 18 week's paid leave from 1 January 2011.