Paid parental leave – 2019


• Women account for 94.9% of all primary carer’s leave utilised with men accounting for only 5.1%. (WGEA Gender Equality Scorecard, p. 11)

• Australian working women continue to shoulder the majority of child-care responsibilities, with nonworking men devoting less time to childcare than working women (Miranda, V. (2011), Cooking, Caring and Volunteering: Unpaid Work Around the World, p. 19).

• The Australian model of a government payment that could be topped up by employers has been largely successful. Take up by fathers has, however, been low. The current scheme provides:

  • 18 weeks government funded Parental Leave Pay, paid at the National Minimum Wage level to the primary carer, provided they meet the work, income, residency tests and are on leave
  • payment from public funds via employers if the employee has been working greater than 12 months and will continue as their employee
  • two weeks Dad and Partner Pay on a use it or lose it basis.

• However,

  • while workplace agreements mean that some employees receive 26 weeks of paid leave, they are likely to be higher earning, professional or public sector employees
  • the failure to provide a superannuation contribution to PPL has a negative effect on women’s lifetime and retirement incomes, and
  • there is a mismatch in eligibility for unpaid leave under the National Employment Standard (NES) and eligibility for PPL. Some mothers eligible for PPL aren’t eligible for unpaid leave because of their work history. They receive financial support but have no right to return to work after time off. The permissible gap also disadvantages women in jobs where there are breaks in employment and we recommend this be abolished.

• The PPL system has been in operation for seven years. NFAW believes it is time for a comprehensive re-examination of the PPL.

 



READ FULL PAPER