Paid Parental Leave Changes In 2020 - What Every New Parent Should Be Aware Of

Photo By Unsplash

Photo By Unsplash

The Federal Government has unveiled changes to Paid Parental Leave (PPL) scheme designed to give greater flexibility to new parents from this year onwards. 

In Australia, under the PPL scheme, eligible working parents are entitled to PPL from the Government when they have a baby or adopt a child under 16. Introduced in January 2011 (01-01-2011), the PPL scheme came with a clause that allowed new parents to spend time at home with their newborns/adopted children.

Subsequently, another scheme, Dad and Partner Pay (DPP) was introduced in 2013. Here, the fathers or partners were entitled up to 2 weeks of pay, of course, funded by the Australian Government.

Paid Parental Leave Amendment (Work Test) Bill 2019

On 11 September 2019, the Paid Parental Leave Amendment (Work Test) Bill 2019 was introduced to amend the Paid Parental Leave Act 2010. As a result, both the PPL and DPP changed from 1 January 2020. 

In other words, if your child is born or adopted on or after 1 January 2020, there are two changes to the work test that you need to be aware of.

What are the new changes in the PPL leave scheme?

Let’s take a look at the changes coming to the PPL Scheme that will affect you if your child is born or adopted after 1 January 2020.

1. Change to the gap allowed between two working days

The work test requires a parent seeking to receive PPL to have worked 10 of the 13 months before their child is born or adopted (and a minimum of about one day per month).

Another positive change is the gap permitted between two working days. As per the new scheme changes, the number of weeks permitted between two working days has been increased from 8 weeks to 12 weeks. This means that if your child is born or adopted on or after 1 January in the year 2020, the gap allowable between two working days is 12 weeks. Earlier, the gap acceptable between two working days was 8 weeks, ie, if your child was born/adopted before 1 January 2020, the gap allowed between two working days was 8 weeks.

2. A new dangerous jobs provision for PPL

There is a new dangerous jobs provision for PPL, if the child’s birth is on or after 1 January 2020.

To be eligible for the new dangerous jobs provision for PPL, you either have to be an expectant mother or the birth mother of a child who was born on or after 1 January 2020. Another qualifying clause is that you were forced to discontinue work due to a workplace hazard that could have been dangerous for your pregnancy. And finally, you were not able to meet the work requirements in the 13-month work test period ending the day before the child’s birth.

Women, who meet the provision, will have their 13-month work test period end the day they stopped work. It'll no longer be the 13-month period ending the day before the child’s date of birth. Nevertheless, mothers will have to meet the work test in this earlier period to be eligible for PPL. However, the dates involved in the calculation will be moved.

To confirm the type of work you were doing before your child’s birth you would need to provide the following:

  • Letter from your employer

  • Contract copy/workplace agreement

  • If self-employed - a statutory declaration of your job description.

Likewise, to confirm that you stopped work because a workplace hazard was a risk to your pregnancy, you would have to provide:

  • Medical certificate

  • Letter from your employer

  • Copy of industry regulation that corroborate you were not able to continue working due to your pregnancy.

Hopefully these positive changes will be particularly beneficial to new parents who are out of work for an extended time during pregnancy.

Get In Touch

If you would like to learn more about Paid Parental Leave for your business contact us for a no obligations phone call with Iolanda Hazell, Director, Infinity HR, at info@infinityhr.com.au

About The Author

Iolanda Hazell is Director & Founder of Infinity HR, helping businesses create a people-first workplace culture. With over 18 years HR expertise, Iolanda works with small to large organisations to create tailored people strategies that achieve business goals."

 

Sources:

Fair Work Ombudsman website - https://www.fairwork.gov.au/leave/maternity-and-parental-leave/paid-parental-leave

Disclaimer

The information provided on our blog is designed to provide helpful information, and does not constitute legal advice, and not intended to be a substitute for legal advice and should not be relied upon as such. You should seek legal advice in relation to any particular matter you or your organisation may have.