Carol Brown (Tasmania, Australian Labor Party) Share this | Hansard source

I rise tonight to touch on what was a historic week in public policy. As an advocate for paid parental leave I have spoken a number of times in the Senate, at rallies and at public consultations on the enormous benefits a paid parental leave scheme provides to Australian working families. So it is indeed very pleasing to be present in this place as a legislated paid parental leave scheme has come to realisation.

It is with great pride that I stand here as part of the Rudd Labor government, the first Australian government to introduce a paid parental leave scheme. I am proud to be part of a government that for the first time has finally been prepared to make the investment in Australian families and introduce a paid parental leave scheme. Indeed this scheme has been a long time coming. Before its introduction Australia and the United States were the only two OECD countries that did not have a paid parental leave scheme. I am delighted that we can now scratch Australia’s name off that list, and it is no coincidence that we have arrived here with the introduction of a paid parental leave scheme.

Many women for many years have been campaigning and fighting long and hard for the introduction of a paid parental leave scheme, and I want to acknowledge a few people now, including my friend and colleague Senator Claire Moore, whose fight and determination to see the implementation of a paid parental leave scheme stretches back over 25 years. In fact Senator Moore made mention of this in her contribution to the debate last week. She made mention of a meeting she attended 25 years ago with a group of women to discuss the lack of support for women in the workplace if they choose to have children. Marie Coleman from the National Foundation for Australian Women has been a tireless advocate for Australian women for a number of years and I commend her hard work and dedication in the fight for paid parental leave. I acknowledge Sharan Burrow from the Australian Council of Trade Unions. The trade union movement has long campaigned for the introduction of a paid parental leave scheme, and I am sure there are many within the union movement who are extremely pleased to finally see its introduction.

As many in the chamber would be aware, last week Ms Burrow presented a petition entitled ‘Time to deliver’, with over 25,000 signatures, to the Prime Minister; the Minister for Families, Housing, Community Services and Indigenous Affairs, the Hon. Jenny Macklin MP; and the Minister for the Status of Women, the Hon. Tanya Plibersek MP. And I am pleased to say that the Rudd Labor government has delivered, because we know that the introduction of a paid parental leave scheme is something that Australian families have longed for. This scheme is wonderful news for Australian working families, because it will provide to working mothers and other primary carers paid leave for 18 weeks at the rate of the federal minimum wage. It will give families the opportunity to gain much needed financial support, enabling them to spend more time with their newborn children.

We know that women who are on lower incomes have far less access to paid parental leave. The Australian Bureau of Statistics informs us that in 2009 only 15 per cent of women earning $300 a week had access to paid parental leave, compared to almost 70 per cent of women on high wages. In fact, increasingly as the labour market evolves and shifts towards more casual, part-time and other workplace arrangements, we needed to implement a scheme which would benefit these workers. Quite often reforms such as the government’s Paid Parental Leave scheme exclude these workers, but I am pleased to say that they will have access to the Paid Parental Leave scheme. So the government’s Paid Parental Leave scheme is extremely important to providing Australian families with financial support on the birth of their children.

The Rudd Labor government’s Paid Parental Leave scheme will ease the financial burden on Australian families, allowing them more time with their babies in the early months. As a mother of two children, I know how crucial spending time with your newborn child is, especially to help form the critical bonds which in turn help give children the best start in life. I was lucky enough to have access to a paid parental leave scheme, so I speak firsthand of the value of such a scheme. I had the opportunity to enjoy paid parental leave and I could not speak highly enough of the value of such a scheme for working parents. And based on my positive experiences from enjoying a paid parental leave scheme I have no doubt that the introduction of Australia’s first Paid Parental Leave scheme is being celebrated right around Australia by the estimated 148,000 people who will take advantage of the government’s scheme each year.

The Rudd Labor government’s scheme has some flexibility, which allows Australian families to best choose how to use parental leave. The parental leave can be transferred or shared between parents so that families are in charge of the best way to manage work and family life. The government’s scheme may be taken before, after or in conjunction with employer provided paid parental leave, annual leave or recreational leave. The Rudd Labor government’s Paid Parental Leave scheme is a fully costed, fully funded, fully consulted policy which has been in development for a while. Our scheme, as announced in the 2009-10 budget, is a five-year, $731 million commitment. As I have said, the scheme will deliver 18 weeks parental leave to be paid at the federal minium wage, which is currently $570 per week. This will allow around 148,000 mothers and primary carers each year to access the scheme.

The announcement of the nation’s first Paid Parental Leave scheme was fittingly made on Mothers Day last year and recognised the invaluable role parents played in nurturing their young. But the implementation of the Rudd Labor government’s historic Paid Parental Leave scheme began some time ago. In February 2008, the government asked the Productivity Commission to look at the economic, productivity and social costs and benefits of paid maternity, paternity and parental leave. The commission also looked into the health and developmental benefits of any paid parental leave scheme for babies and their parents. The Productivity Commission took on extensive public consultation for the possible introduction of a scheme. The commission collected public submissions and also conducted public hearings.

I had the opportunity, as part of the consultations, to make a contribution towards the inquiry at the Hobart public hearing. I am pleased to say that the Productivity Commission recommended the introduction of the government funded Paid Parental Leave scheme. The commission recommended that the scheme should be paid over 18 weeks at the minimum wage. And, I am happy to say, that is what we now have implemented.

We consulted widely on this scheme. It was agreed to by businesses, unions, government and, of course, by women and families. The scheme will provide increased financial security for working families, promote workforce participation and enhance early childhood development. It will also assist working women with the process of adjusting from working life to parenthood and give them an opportunity to bond with their newborn child.

I am also pleased that the government has decided not to rest on its laurels, because we need to ensure that we have the best possible scheme for Australian families. We have committed to evaluating the scheme and conducting a review of the scheme commencing two years after it begins. The review and the evaluation are to be completed by the end of 2014. Minister Macklin has already highlighted that the government’s review will look into paid paternity leave and superannuation contributions for the period of paid parental leave.

It has taken a long time; in fact, it has taken too long. As I mentioned earlier, we were one of only two OECD countries not to have a paid parental leave scheme. This scheme is therefore certainly long overdue. Many people have campaigned for this scheme and finally we have made it. When I first came to this place, paid parental leave used to be talked about in terms of ‘if’. Gradually, through tireless campaigning, it became a matter of ‘when’, and now, through the hard work of so many and a commitment from the Rudd Labor government, we have a scheme that has passed into law and will begin next year. I feel very proud to have played a small role in the implementation of the country’s historic first Paid Parental Leave scheme. It will, I know, be welcomed by Australian families.