House debates

Wednesday, 7 February 2024

Bills

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

1:17 pm

Photo of Tracey RobertsTracey Roberts (Pearce, Australian Labor Party) Share this | Hansard source

Twelve years ago marked a pivotal moment in our nation's history, a moment that brought about transformative change for countless working families. It was the introduction of paid parental leave, an historic reform that has undeniably reshaped lives across our nation. For many parents, this initiative represented a significant milestone, offering them the opportunity to access paid parental leave for the very first time, with a generous 18-week payment fully funded by the government. It wasn't just a monetary provision; it was a fundamental shift in the landscape of workplace and economic equality, especially for women, who for too long bore the brunt of unpaid care responsibilities and faced long-term consequences to their economic security. I was one of those women. I feel quite emotional about that. With a very sick husband who was battling cancer, I had to work full time to financially support and look after our new baby in the early nineties and help my husband. Fortunately my parents travelled from England to help look after the baby when I was at work.

Primarily this reform is about balancing gender equality, breaking down barriers that have hindered women's progress in the workforce. However, the importance of this initiative extends far beyond gender concerns. It is about supporting families, promoting the health and wellbeing of parents and their children, and contributing to the broader economic fabric of our society. In 2009, the Women and Work Research Group from the Faculty of Economics and Business at the University of Sydney released a report entitled, Paid maternity, paternity and parental leave for Australia. It described the three generations of parental leave policies, broadly identified as follows. The first generation dates back to the 1970s, when the focus was maternity leave and job protection, in response to increases in female workplace participation.

The second generation of policies provided specific paternity leave periods and extended parental leave in order to address the gendered nature of leave-taking and to encourage the role of fathers in parenting. The third, and most recent, generation of parental leave has incorporated flexibility and return-to-work arrangements as a further way of easing work-family tensions and facilitating both women's and men's workforce transitions. The research indicated very clearly that public policies are very influential in affecting the labour market, the parenting behaviours of employees and the attitudes of employers. For example: mothers respond directly to either the shortening or lengthening of periods of paid maternity leave by taking commensurately shorter or longer periods of leave. In terms of breastfeeding, there's a clear and established link between the length of paid leave and the length of time a mother breastfeeds. Employment and breastfeeding are in competition, and when a woman returns to work, either breastfeeding rates drop off—if women are unable to return to part-time rather than full-time—or it continues no longer. I also was that mother; I had to take some trips to the ladies to express milk for my baby so that my mother could feed the baby when I was at work on the next day, and the next day and the next day during the days that I was at work.

The designation of paid paternity leave for fathers on a 'use it or lose it' basis has seen fathers in other countries take longer periods of paternity leave and participate in the rearing of their children. Employers who were initially reluctant found that these policies had a positive effect, and that they assisted in better planning work and improving employee relationships. Investing in paid parental leave is a strategic, critical move for our economy. This was evident in the outcomes of the very successful Jobs and Skills Summit in September 2022, when increasing paid parental leave emerged as a frequent and essential proposal.

The extension of Australia's paid parental leave program signifies more than just an increase in financial support; it's about providing every family with a new baby with the gift of choice, enhancing security and support. The extension of paid parental leave will help to boost productivity, bolster the economy and afford parents the precious time they need to bond with their newborn babies. Think back to the days when you first brought your newborn home: a mix of joy and anxiety, and definitely some sleepless nights! For many it was a lonely experience, however, especially for women who were dealing with hormonal changes, lack of sleep, feeling out of control and with a lack of support. Paid parental leave injects flexibility and peace of mind into those delicate periods, allowing parents to plan their leave, manage their financial commitments and alleviate the financial stress associated with staying at home with a baby. The parent-child relationship is unique, and research tells us that early paternal involvement benefits relationships with both the parents and the baby. Being a parent is immensely rewarding, as we all know, but it is also one of life's most challenging roles. Paid parental leave provides the flexibility to navigate the challenges of parenthood while ensuring that much-needed support is in place.

The bill before us is a continuation of our commitment to family values and the wellbeing of our citizens. It helps to ensure that female employment, careers and businesses are secure, and that productivity is enhanced, leading to better outcomes for families across the nation. It proposes amendments to the paid parental leave program from 2010, extending the scheme by increasing the maximum number of flexible leave days each year by two weeks from 1 July 2024 until it reaches 26 weeks by 1 July 2026. Article 3 of the Convention on the Rights of the Child requires legislative bodies to consider the best interests of the child as a primary consideration. This principle applies to all actions concerning children, and requires active measures to promote their survival, growth and wellbeing, as well as measures to support and assist parents and others who have day-to-day responsibilities for ensuring recognition of those rights. By reducing the constraints faced by both men and women as they juggle their professional and family responsibilities, this bill helps to create a fairer society, enhances workforce participation and boosts productivity. It goes beyond gender equality. It is about fostering a community where families can thrive.

During my time as Mayor of the City of Wanneroo, we had an average of eight babies born each day. So it is no surprise that, in my electorate of Pearce and across the nation, families will welcome the benefits of the amended bill and this more generous scheme.

This is a monumental step forward, not only supporting maternal health and wellbeing, but also encouraging both parents to take leave and giving families the flexibility to choose how they share care responsibilities. I said at the very outset that, for me, this spoke volumes in terms of gender equity, but it's not just about that—it's about helping to make a fairer society and to boost workforce participation and productivity.

By 1 July 2026, the scheme will be for a 26-week period, with four weeks reserved for each parent on a 'use it or lose it' basis, leaving 18 weeks that parents can choose to share however they wish. Single parents will have access to the full 26-week entitlement, and coupled parents will also be able to take up to four weeks of paid parental leave at the same time, instead of the two weeks currently allowed. Extending the reserved period for couples will complement the increase to the maximum parental leave pay entitlement. It will continue to encourage fathers and partners to take a greater share of caring responsibilities, by increasing the time fathers and partners can take off work around the time of a child's birth or adoption.

Increasing the number of days that may be taken concurrently by parents and carers will continue to assist parents to share caring responsibilities and will provide fathers and partners an opportunity to also care for birth parents, to support their health, while ensuring parents are encouraged to return to work. Limits on the number of days that may be taken concurrently will prompt fathers and partners to take on independent care of the child, which, research has demonstrated, helps to develop patterns of care that persist throughout a child's life. By supporting and encouraging families to share caring responsibilities more equally, we believe it will help women's workforce participation, help to close the gender pay gap, and help to address the economic penalty faced by so many women in the past.

This amendment will help women who are self-employed or who run small businesses who cannot afford to be off work for an extended period of time. They will be able to tailor their leave to fit their personal circumstances. The flexible leave arrangements will also help support women with a more gradual return to work.

I have also noted that the government payment is a minimum entitlement designed to complement employer-provided leave. The minister advised that data collected by the Workplace Gender Equality Agency shows the proportion of businesses providing their own paid parental leave has increased over the last decade. In 2021-22, 62 per cent of reporting employers offered employer-funded paid parental leave, up from 48 per cent in 2013-14. This indicates a change in social policy and indicates the value placed on this as an investment that returns benefits for parents, employers and the economy.

The bill is a step forward towards a more inclusive and compassionate society, one where every parent, regardless of gender, can experience the joys and challenges of parenthood—and there are many. The bill helps support women so that they do not have to choose between a family and a career. I agree with the minister, who stated that this bill is good for parents, good for children, good for employers and good for the economy.

Coming from the electorate of Pearce, which is one of the fastest growing areas in Australia, with a median age of 32 and a significant increase in young families, I welcome this bill and amendment. I know it will help parents during a very special and important time in their lives, especially when nearly 42 per cent of the Pearce community is from overseas, so many don't have family or close connections here. They are absolutely reliant upon the paid parental leave, in which they can form their relationship with and look after and nurture their baby. They deserve that support, they need that support and that support will be provided by this bill. I am very proud to commend the bill to the House.

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