Dan Tehan (Wannon, Liberal Party, Minister for Trade, Tourism and Investment) Share this | Hansard source

I move:

That this bill be now read a second time.

This bill amends the Paid Parental Leave Act 2010 to assist people who have been affected by the economic impacts of the coronavirus pandemic to be eligible under the Paid Parental Leave (PPL) scheme.

The PPL scheme is intended to support working parents. As such, to be eligible for parental leave pay or dad and partner pay, a person must meet certain work test requirements, including having worked for 10 months out of a 13-month work test period and having worked a minimum of 330 hours in that 10-month period.

State-imposed lockdowns and restrictions are affecting the ability of some people to work. Across Australia, people are being stood down or experiencing a significant reduction in work hours. This may in turn have an inconsequent effect on the ability of these people to meet the work test requirements and qualify for payment under the PPL scheme.

Amendments to this legislation are proposed to allow periods a person is in receipt of the COVID-19 disaster payment (CDP) to count towards meeting the paid parental leave work test.

The CDP is a lump sum payment for those who have lost work or income as a result of a COVID-19 lockdown. Allowing periods in receipt of CDP to count as qualifying work for the PPL work test is consistent with the objectives of the PPL scheme and would align with the government's response of being temporary, targeted and proportionate.

Qualification for the CDP is dependent on losing income and work as a result of living or working in a Commonwealth-declared COVID-19 hotspot. Aligning this proposal with CDP will ensure that the proposal is targeted and can be accurately applied to those whose workforce participation has been affected by COVID-19 lockdown restrictions.

These changes will ensure that parents with a genuine connection to work are able to access the government's PPL scheme.

Without this amendment, parents who work part time, or have been in lockdown close to, or longer than, the permissible 12-week period, may lose entitlement to the payments under the PPL scheme, due to failing the work test.

This bill will support working parents to access the PPL scheme in areas affected by the recent COVID-19 lockdowns and mimics the amendments that were made to the Paid Parental Leave Act during the peak of the pandemic last year.

To remind the chamber, the amendments made under that act allowed for time spent on the JobKeeper payment to count towards the PPL work test, in recognition that meeting the work test during the pandemic was more difficult.

These important changes to the PPL scheme are about ensuring that the government continues to provide support to working parents to spend time with their new children.

I commend the bill to the House.

Debate adjourned.

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