Alicia Payne (Canberra, Australian Labor Party) Share this | Link to this | Hansard source

I move:

That this House:

(1) acknowledges the Government's commitment to strengthening the paid parental leave system;

(2) notes that on 1 July 2025:

(a) the Government's paid parental leave increased by two weeks, from 22 weeks to 24 weeks; and

(b) superannuation was added to Government paid parental leave meaning taking paid parental leave will not mean missing out on superannuation; and

(3) welcomes the Government delivering the better future Australians voted for.

I'm very proud today to move this motion relating to paid parental leave because it's an issue that's really close to my heart, not just at the moment but all the time. It is about supporting families at such an important time in their life as they welcome a new baby, it's about gender equality, it's about maternal health, and it's about recognising the importance of supporting both men and women to take time out of the workforce to care for family. Paid parental leave was first introduced by the Labor government when Jenny Macklin, who I'm so proud to have had the opportunity to work for, was the minister for social services. In 2011 this was introduced, and we were one of the last OECD countries to introduce such an important scheme. So this is a really proud Labor achievement. But we haven't just left it there. We've continued to improve this really critical scheme, and that's what I rise to speak about today: two very important reforms that came into effect from 1 July this year relating to paid parental leave—reforms that deliver really meaningful and life-changing support to families, delivering fairness, dignity and security to working families across the country. These are reforms that reflect our values and the priorities of the Australians who elected this government.

Firstly, the duration of paid parental leave increased from 22 to 24 weeks, and this is part of our plan to reach 26 weeks by 2026. This is a meaningful change that gives parents more precious time at home with their newborns—time to bond, recover and adjust to life as a growing family. For babies, this time is critical. It supports healthy development, strengthens family relationships and lays the foundation for a strong start in life. For parents, particularly mothers, it's about their health and recovery after birth. It is about recognition, respect and economic justice.

Secondly, and very significantly, superannuation is now being paid with paid parental leave. This is a reform that generations of Labor women, unions and advocates have fought for, and I'm proud to be part of the government that has delivered it.

Both of these policy features were actually recommended in the initial Productivity Commission report on which the first scheme was very closely based, and these were things that were long an aspiration to be delivered: more leave, more time, and also superannuation. So it is really a very proud moment that our government has delivered these and that, from 1 July this year families have been benefiting from both of those. It means that taking time out of paid work to care for children will no longer have such an impact on women's retirement savings. It's helping to close that gap, and it's sending an important signal to employers about this as well. For too long women have been penalised for taking time out of the workforce to care for their children. The result is that women retire with around 25 per cent less superannuation than men. By paying this on the paid parental leave scheme, we are beginning to close that gap.

It is my belief that it is incredibly important we make it easier for both men and women to take this time out of the workforce—that we normalise it as part of life that people need to take time out of work to do things like care for children and other family members and that this is shared equally between men and women. I believe one of the most key factors in influencing gender equality going forward is that this is seen as something that is normal and respected—respected in ways like paying superannuation on paid parental leave, which is a really important way to show that this is a serious and important thing.

These changes will benefit around 180,000 families every year. It will give them more time, money and flexibility, and more people will be eligible. Labor created paid parental leave, and we will always defend it and continue to build on it. But it's not just paid parental leave that we're making better; these changes build on the Albanese government's broader agenda to support Australian families and modernise our workplace and care systems. Since we came to office, parents have been almost $12,000 better off. From cheaper early childhood education, with the goal of universal access, and paid placements for student nurses and teachers to getting wages moving again, we are backing working people and working families.

Helen Haines (Indi, Independent) Share this | Link to this | Hansard source

Is there a seconder?

Shayne Neumann (Blair, Australian Labor Party) Share this | Link to this | Hansard source

I second the motion and reserve my right to speak.

Tom French (Moore, Australian Labor Party) Share this | Link to this | Hansard source

Becoming a parent is one of the most profound experiences in life. There's joy, exhaustion and a love that changes everything. Those first weeks and months are moments you never get back, and they shape the health and wellbeing of a family for years to come. As a dad of two young boys, I know how precious that time is when your baby first grips your finger or when your partner needs space to rest and recover. It is time that deserves to be protected, not squeezed into a hurried week away from work. Paid parental leave is a Labor achievement; it did not exist in this country until a Labor government created it. Before then, too many parents had no choice but to rush back to work or survive without support.

Today, Labor is expanding the scheme again—the most significant improvement since its introduction. As of 1 July, parents have 24 weeks of paid leave, rising to 26 weeks next year. For the first time ever, superannuation is included—protecting retirement incomes, particularly for women, who retire with far less super than men. The weekly payment rate has risen to almost $950 per week. Parents can now take up to four weeks together instead of just two, and eligibility thresholds are indexed so more families can qualify. That means more time, more money, more flexibility and more security. On average, parents are $12,000 better off than when this government came to office. These reforms will benefit around 180,000 families every year, including thousands in my electorate of Moore. When families tell me they are juggling the cost of living with long hours and raising kids at the same time, I know parental leave is not a luxury; it's a necessity.

The evidence is clear. Longer leave improves infant and maternal health and reduces infant mortality. Breastfeeding rates increase, maternal stress decreases and recovery after childbirth is stronger. Research shows that mothers are far more likely to return to the same job within a year if they have access to paid leave, particularly those who are casual and lower income workers. That is job security and family security rolled into one. It also advances gender equality. When dads and partners take more leave, they share the load from the very beginning. That builds a culture of equal caregiving, which benefits children and strengthens relationships. In countries like Sweden and Norway, generous parental leave has driven higher female workforce participation and better outcomes for families. Australia is moving in that direction with these changes. Adding superannuation to paid parental leave means retirement security is lifted. Women retire with, on average, one-third less superannuation than man. This measure alone could add $5,000 to $7,000 to a woman's super balance per child by retirement. That is structural reform that recognises that care is work and that raising children should not penalise women later in life.

Yet those opposite have never believed in paid parental leave. When Labor introduced Australia's first universal scheme, the coalition ridiculed it. They called mothers who access both employer and government schemes double dippers, frauds and rorters. Their election costings revealed that they would cut $158 million from superannuation on paid parental leave. The current shadow industrial relations minister declared, 'Paid parental leave, to me, is a very bad scheme, and I make no ambiguity about it.' He even said, 'It is not my choice that women have children; it's genetic.' Another senior coalition figure describes paid parental leave as a welfare payment. That is the difference. Labor sees parental leave as an investment in families, in equality and in the nation's future. The coalition sees it as a cost to be cut. We believe parents deserve time to care for their children without sacrificing financial security. They believe it is a handout. Paid parental leave is not just mothers leave; it is parents leave. It recognises that raising a child is valuable work, and it should be supported by the nation. These changes are practical. They are fair and they are deeply Labor. We will always look at how to strengthen this scheme further, but, right now, our focus is on delivering what we promised.

Libby Coker (Corangamite, Australian Labor Party) Share this | Link to this | Hansard source

Firstly, I thank the member for Canberra for moving this motion and for her strong advocacy on behalf of families. Paid parental leave changes lives. It gives parents precious time with their newborns, it gives children the best start in life and it gives families the support they need when it matters most. That's why Labor introduced paid parental leave, and it's why this government, the Albanese Labor government, is strengthening it. When families thrive, Australia thrives.

On 1 July this year, Australian families experienced the biggest improvements in paid parental leave for more than a decade. Parents now have an extra two weeks of leave, and next year they will gain another two weeks. By 2026, families will be entitled to a full six months of paid parental leave, an invaluable six months where parents can focus on their children without the stress of juggling work and family pressures. At the same time, payments will be higher. Since we came to government in 2022, families have been around $12,000 better off—about $200 more each week. In my electorate of Corangamite, almost $24 million of paid parental leave was claimed in the last financial year. That is a real relief at a time when every dollar counts. For the first time, superannuation is also being paid on paid parental leave. On average, it means $4,500 more in super, delivering greater financial security in later life. As part of our changes, there is now more flexibility. Parents can now take leave together to care for a newborn—it makes sense—and more families are eligible thanks to higher thresholds. These are game-changing reforms. In short, they mean more time, more money, more super, more flexibility, more support and, importantly, less stress for families.

In my electorate, I recently spoke to a young couple who told me how the extra weeks of leave meant that they could both be at home when their child arrived early. 'It's been an absolute godsend,' they said. At a recent market, another mum said the superannuation change would help to build her retirement savings. These are the real stories behind the policy—a policy that is designed to support families and give children the best start in life. Let us remember that none of this was guaranteed. The Liberals' costings at the last election showed cuts in paid parental leave, and, when we recall the member for Goldstein dismissing the scheme as—and I quote—'very bad' and declaring, 'It is not my choice that women have children,' those comments go to values. On this side of the chamber, we are clear: children are the greatest gift, families deserve respect and support, and governments should be there to back them in. Paid parental leave also benefits business. When parents can take time at home and then return to work with confidence, businesses keep skills and our economy keeps talent. Paying super also narrows the retirement gap. Expanding leave lifts retention. Flexibility helps mums and dads take time too.

This is not a handout; this is a helping hand. It levels the playing field, and it goes to the value of fairness, a value shared by all Australians. It's a value that underpins the Albanese government's broader plan to help Australians get ahead. We have made child care cheaper so returning to work is easier and more affordable. We've lifted wages and supported secure jobs because family budgets depend on a decent pay. We've invested in Medicare because health should never be a luxury.

In closing, Labor's agenda—and our Paid Parental Leave scheme in particular—means more time, more money, or super, more flexibility and more families supported. But, more than that, it's a statement about who we are: a nation that values families and cares for our youngest Australians, and a government that backs parents. The Albanese government promised to strengthen paid parental leave, and we're delivering it in full and on time, because we believe that, when you support families, children get the best start in life and our nation is stronger.

Dan Repacholi (Hunter, Australian Labor Party) Share this | Link to this | Hansard source

When there's something that makes this country the best place on earth to live, it's usually the Labor government who's responsible for implementing it, and paid parental leave is yet another example of this. We implemented it, and now we're strengthening it. As the dad of two amazing girls, Zoe and Asha, I know how valuable time with your newborn is. It's important for parents, and it's important for the baby as well. Bringing your newborn child home is one of the most amazing days of your life. But it's no secret that, from this point on, life gets harder. This is especially the case for those who have just gone through nine months of pregnancy, followed by labour. No-one in their right mind can expect a new mother not to take time off. But, when you take time off for a child, you still need money to keep coming in. Kids drain our bank accounts enough without our needing time off work.

This is where paid parental leave kicks in and really makes a difference. It means you don't need to choose between having a child and going to work. Paid parental leave is truly life changing for so many parents around the country. Twenty-two weeks away from work is invaluable time for new parents—and don't we all know they deserve it! But, as we all know, sometimes this just is not long enough. When the Paid Parental Leave scheme was first introduced by a Labor government back in 2011, it was a massive help to so many parents. But the needs of parents change over time, and the scheme needs to adapt to be able to effectively deliver for the needs of those who rely on it in 2025. This is why it's good that the government has increased paid parental leave by two weeks, bringing the amount of parental leave a new parent can take from 22 weeks to 24 weeks. It's fantastic that paid parental leave means that mothers can take the time they need to be with their child when they're needed most, without having to sacrifice their pay.

But the system wasn't perfect, because, while you continue to get paid, in the long run mothers were being left worse off. The money that you take home at the end of each week is only one of the financial benefits of being in the workforce. The other major plus of having a job is to be paid super, another Labor government policy. Super means that, when you retire, you're better off and less likely to rely on the government to survive. But, unfortunately, for too long it has been the case that, when a parent is off work on paid parental leave, their superannuation does not continue to accumulate, meaning that there is about half a year's worth of lost superannuation just because you decide to have a baby, even if it is only one baby. In the big picture, this might not sound like a lot, but, when you take into consideration the lost return on this money and the possibility of having more than one child, it quickly adds up. But it is no longer an issue, because superannuation has now been added to the government's paid parental leave, which means that taking paid parental leave will not mean missing out on super. This is a win for parents, and particularly for mothers, because the time that mothers are out of the workforce to bring children into this world should not leave them worse off when it comes to them retiring.

In May, Australians made their voice loud and clear: they want a government who builds on this country's future. They voted for a government who will put people first, and that's exactly what these changes to paid parental leave deliver. We've taken life-changing, nation-building policy and made it even better, to make sure that parents are better supported to take more time off with their newborn and don't have to sacrifice their super by bringing a child into this world. The reforms to the government Paid Parental Leave scheme have proven to be good for parents, good for kids, good for employers and good for our economy. This is a win for all. These are the kinds of life-changing policy that we will continue to deliver for Australians so that we are delivering the better future that Australians voted for.

Colin Boyce (Flynn, Liberal National Party) Share this | Link to this | Hansard source

I believe there are no further speakers, so the debate is adjourned and the resumption of the debate will be made an order of the day for the next sitting.