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

My question is to the Minister for Social Services. Why is paying superannuation on paid parental leave so important for supporting parents with a new baby and closing the gender gap in retirement savings? What has been the response, and how does this differ to other approaches?

Amanda Rishworth (Kingston, Australian Labor Party, Minister for Social Services) Share this | Link to this | Hansard source

I would like to thank the member for Canberra for that question. I know that she has been a passionate advocate for paid parental leave for so many years. Today, the House passed an important reform that will boost superannuation balances of parents and help close the gender gap in retirement savings. In fact, women retire with 25 per cent less superannuation than men, an estimated $51,000 less on average according to Super Members Council.

We know that women who have lower superannuation at retirement can, in some cases, face a higher risk of homelessness and a higher risk of income instability. As the women's economic taskforce put it, women too often pay the motherhood penalty when it comes to retirement savings. Labor's plan to pay superannuation on paid parental leave will help address this inequity, and the bill passed in this House today is a positive investment in the future of working parents.

I've been asked what the responses have been to our plan to add superannuation on paid parental leave. Georgie Dent from The Parenthood said that our plan to pay superannuation on paid parental leave was a 'game changer' for families right across Australia. Bran Black from the Business Council of Australia said:

Adding superannuation contributions to the government payment is the right thing to do for both women and the economy.

The Australian Council of Social Service's chief executive, Cassandra Goldie, said:

Policies that bolster women's financial security make social and economic sense.

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Every single dollar added to someone's superannuation account matters.

While the response to Labor's plan has been widely welcomed, equally the response to those opposite's plan to attack women's retirement savings has been damning. On the opposition's proposal, the Super Members Council said:

It sends a deeply concerning message to mums that they should sacrifice their future financial security to meet daily expenses.

The ACTU president, Michele O'Neil, said:

No Australian should have to trade off supporting their babies now and feeding themselves in old age.

But it really does feel like groundhog day when it comes to those opposite. It's just another day of wrecking and negativity when it comes to superannuation and when it comes to paid parental leave.

Milton Dick (Speaker) Share this | Link to this | Hansard source

The Manager of Opposition Business will cease interjecting.

Amanda Rishworth (Kingston, Australian Labor Party, Minister for Social Services) Share this | Link to this | Hansard source

It is disappointing but not surprising. It is only Labor that is on the side of new parents and is ensuring Australia has a strong, flexible and equitable paid parental leave scheme. (Time expired)