House debates

Thursday, 7 December 2023

Bills

Paid Parental Leave Amendment (More Support for Working Families) Bill 2023; Second Reading

1:02 pm

Photo of Jerome LaxaleJerome Laxale (Bennelong, Australian Labor Party) Share this | Hansard source

Becoming a parent changes your life. It happens so fast, and it's never really what you expect. You try and prepare for it—you read the books; you read blogs online—but it's always so much more than you prepare for. And, as parents know, the early days with a newborn are the most extraordinary. In amongst the fog of bringing a newborn home—or two newborns, as was my experience—I still somehow remember those early days with each of my children. Even after the two weeks they spent in the neonatal intensive care unit, where we were able to ease into new parenthood, I still remember getting home and saying to myself: 'What next?'

Because of the Labor government, I was able to spend some time at home in those first few weeks. Thanks to a Labor government, my kids' mum was able to stay at home for much longer. We were able to do that because of Labor's paid parental leave. At the time, we were one of the last countries in the OECD to offer it, and it was well overdue. Now, reform is also overdue. It's time to make paid parental leave better. I was lucky to be able to spend those early days with my kids. Paid parental leave is a lifeline for parents navigating the challenges of childbirth and the responsibilities of raising a child.

Thirteen years ago, the first Labor member to hold my seat of Bennelong stood in this place and proudly spoke to the Paid Parental Leave Bill 2010. When she won the seat of Bennelong in 2007, only 54 per cent of female employees and 50 per cent of male employees had access to some form of paid parental leave, and only one-third of employed women with children actually received paid parental leave from their employer. Of course, as is always the case, the women left out were low-income workers—women who worked in early childhood education, in care industries, in retail and in cleaning.

The work of my predecessor and that government she was a part of marked a pivotal turning point. It had a commitment to rectifying the imbalances in access to paid parental leave and ensured that, in law, every working parent, regardless of their socioeconomic status, had the opportunity to embrace the joys and challenges of parenthood without undue financial strain.

The groundbreaking Paid Parental Leave Bill 2010 laid the foundation for a more equitable future. Today we can see the enduring legacy of that policy. The majority of employees in Australia now have access to paid parental leave, whether provided directly by their employer or by the government. Because of that, there has been a fundamental shift in how our society values and supports those navigating the complexities of work and parenthood. That's the lasting change that great policy can achieve. It goes beyond the legislative text; it transforms lives, shapes futures and creates a ripple effect that extends far beyond the halls of this parliament.

The legacy of the Paid Parental Leave Bill 2010 is not merely in numbers or percentages; it's in the countless moments of connection, the shared laughter and the warmth of family life. It's being with your partner at a really challenging time. It is in the empowered women in our community who, once left without this support, can now navigate the challenges of parenthood without sacrificing their economic and career security. It's in the fathers who, encouraged by policies promoting shared care, can actively and more easily participate in the upbringing of their children without fear of professional repercussions. It's a testament to what great policy and forward-thinking governments can achieve: policies that help transform people's lives.

Just as a former Labor government knew when it created the Paid Parental Leave Act to fit the circumstances of that time, we know that the landscape of our nation has evolved. Our understanding of family dynamics, of gender roles in parenting and of the intersection of work and life has expanded, calling for a recalibration of this policy to align with the contemporary needs of Australian families. Since we've come to government, we have undertaken the reform needed in a methodical and meaningful way. This bill, today, is another example of that.

In the first budget, we invested half a billion dollars to expand the scheme to six months by 2026. This historic investment, the largest since Labor established the scheme, will benefit over 180,000 families each year. It's a reflection of this government's dedication to improving the lives of working families, fostering better outcomes for children and advancing women's economic equality. This bill builds on the changes we made to modernise the Paid Parental Leave scheme earlier this year.

These changes, which, if the bill is passed, will begin on 1 July, will give more families access to the payment, offer parents greater flexibility in how they take leave and encourage parents to share care. This amendment will allow us to provide even more comprehensive support to working families.

The bill, if passed, will expand paid parental leave by increasing the length of time of payment from 20 to 26 weeks. It will also double the period where parents can take paid parental leave at the same time from two to four weeks. Starting on 1 July 2024, two additional weeks of leave will be added each year until 26 weeks are reached in 2026. This expansion is not just a numerical increase; it's a qualitative enhancement to the support we provide to families during a crucial time in their lives. The journey to parenthood is always diverse and the pathways in family life are always varied. Extending the leave duration responds to the needs of families, offering an extended period for parents to bond with their newborns and establish the foundations of a secure family unit. As it stands right now, up to 18 weeks are available for one parent—usually taken by the mother—with two weeks reserved for the father or partner. The proposed increase to 26 weeks means mothers can access up to 22 weeks paid parental leave, which is an additional month compared to the current scheme. As mentioned, it also doubles the period reserved for the partner from two to four weeks.

This expansion is not just about extending financial support; it's about recognising the importance of parental involvement with a newborn from the very beginning. Crucially, this expansion sends a clear message that parenting should not always rely on one parent. This bill and the changes being proposed acknowledge that parenting is an equal partnership. The government value men as caregivers too, and we want to see that reinforced in workplaces and in our communities. In Bennelong, where families come in all shapes and sizes, we understand that diversity extends beyond ethnicity and gender; it includes the diversity of roles within a family. This amendment acknowledges and cultivates a culture of shared care and reinforces the importance of both parents in the upbringing of their children. It's a recognition that family responsibility should be shared and parents' roles in their families should be viewed as equal.

When the government announced our paid parental leave reform in the October budget, we entrusted the Women's Economic Equality Taskforce with providing advice on the best model for 26 weeks to advance women's economic equality. The taskforce recommended reserving four weeks for each parent on a 'use it or lose it' basis and allowing parents to take up to four weeks of leave at the same time. This bill reflects that advice. This decision is not just about meeting a quota. It's about creating an environment where families can thrive and where one partner can pursue their ambitions and, where applicable, the other can be an active participant in the lives of their children.

Our government is not blind to the fact that paid parental leave is not just a social policy; it's an economic imperative. As the global economic landscape evolves and we work towards greater economic resilience, we must recognise the pivotal role that families play in sustaining our nation's growth. Our national birthrate matters, and it's absolutely imperative that governments of all persuasions do what they can to make sure that having a child does not become an economic burden. Expanded paid parental leave will ensure families are supported at a time when they are less likely to work. Businesses, unions, experts and economists all concur that one of the most effective ways to boost productivity and workforce participation is to provide families with more choices and flexibility and greater support. This isn't an economic theory; it's a reality that resonates across schools, homes and businesses in Bennelong and right across the country.

Paid parental leave, when done right, can be a powerful catalyst for advancing gender equality, and the Albanese government is committed to fostering an environment where women can thrive in both their professional and their personal lives. The reform proposed today is not an acknowledgement of the challenges faced by women; it is a commitment to dismantling barriers that exist and to creating opportunities.

For many families in my electorate of Bennelong, this reform means more than just financial assistance; it will signify the recognition of the immense value of the early years of a child's life. It'll mean the ability for parents to be present during those precious first months, to witness those amazing first milestones and to create a foundation of love and security for their kids. It'll help foster an environment where the burdens of balancing work and a newborn are alleviated, enabling parents to make choices that align with the unique needs of their households at a challenging time. It recognises that every family, regardless of its composition, deserves the support and flexibility to nurture its children in an environment of love and understanding. It's also a commitment to equality, acknowledging that all parents—irrespective of gender or circumstance—should have the opportunity to be active participants in the early days of their newborn's life.

In a world that often moves at a relentless pace, access to paid parental leave—and expanded access, for that matter—becomes a promise that, as a community and a government, we value and prioritise the wellbeing of families and newborns. This amendment is more than just passing a law; it's investing in the future and prosperity of Australians, and it's another sign of our clear commitment to an inclusive and well supported community. By providing flexibility in how parents can arrange their care, we hope to ensure that the support offered is adaptive to the unique circumstances that define Australian families. I commend this bill to the House.

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