Yahoo Finance $5,000 boost: Major change to paid leave for these Aussies
Aussie families will be eligible for an extra $5,000 under the paid parental leave changes.
Thousands of Aussie workers will soon be entitled to increased paid parental leave, under major changes brought to parliament today.
Under the proposed laws, around 180,000 families per year will have shared access to 26 weeks of paid parental leave by July 2026.
Currently, families can receive 20 weeks of parental-leave pay a year, which is paid at the national minimum wage of $882.75 per week.
This change means families could receive an extra $5,296.50 in parental-leave payments from 2026, based on the current minimum wage.
Minister for Social Services Amanda Rishworth said the changes better addressed the needs of working Australian families and provided them with greater security.
“The roughly 180,000 families who receive Paid Parental Leave each year will benefit from a more generous scheme that supports maternal health and well-being, encourages dads and partners to take leave, and gives families flexibility to choose how they share care,” Rishworth said.
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“Not only will this help families to better balance work and care, but it will also support participation and productivity over the longer term, providing a dividend for the Australian economy.”
The government estimates the changes will come at a cost of $1.2 billion from 2022-23 to 2026-27.
How will the changes work?
If passed, two additional weeks of paid parental leave will be added each year from July 1, 2024, until it reaches the full 26 weeks from July 2026.
The number of weeks reserved for each parent will be increased to four weeks, in order to encourage the sharing of care and household responsibilities.
Parents can also take concurrent leave - meaning that, from 2026, both parents can choose to take four weeks of leave at the same time.
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