What are the changes?

Prior to the commencement of the Act, the Government Paid Parental Leave scheme offered eligible employees 18-weeks paid parental leave to the primary carer of the child which is paid at the National Minimum Wage. The scheme required the employee to take these 18-weeks in one continuous block.

From 1 July 2020, eligible employees have increased flexibility in how they take the leave and receive payment. The first 12-weeks of Paid Parental Leave must be taken in one continuous block. This is known as the “non-flexible” period. However, the remaining six weeks can be taken at any time provided it is before the child turning two. This six-week period is known as the “flexible” period. The new approach allows employees to return to work on a gradual basis. In practice, this means employees who worked on a full-time basis before taking parental leave can return to work on a part-time basis during the additional six weeks, provided the employer agrees to the Flexible Working Arrangement request.

Who is eligible?

Given the Act commenced on 1 July 2020, Services Australia (formerly Centrelink) will accept claims from eligible employees for children born or adopted on or after this date. For further information on eligibility, employees should contact Services Australia.

What do I need to do?

Employers are not required to make any changes under this new Act. However, employers should be mindful that with the increased flexibility in access to Paid Parental Leave, more requests for flexible work arrangements may be received. If a request is made, employers should follow the requirements of the National Employment Standards and the relevant modern award or industrial instrument, where applicable.

Under the Act, employers are still required to pass on monies received from the Government to the employee in line with the normal pay cycle.

Support for employers

• The Victorian Chamber has a comprehensive library of up-to-date factsheets and information for members. To access our fact sheet on Parental Leave you are required to log into your Victorian Chamber account.
• To access additional Workplace Relations Tools and Templates and the Modern Award directory, click here.
• For further information relating to the changes or to subscribe to your applicable modern award, contact the Workplace Relations Advice Line on 8662 5222.
• Please see the Paid Parental Leave Amendment (Flexibility Measures) Act 2020 or contact Services Australia for further eligibility information.

Written by Gerri Carreon, Graduate Workplace Relations Advisor.