Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Finance and the Minister for Women, Senator Gallagher. Government funded paid parental leave is a vital support for many new parents in Australia. It is a proud Labor achievement introduced under the leadership of federal Labor and Jenny Macklin back in 2011. Yesterday this Labor legacy was extended, with paid parental leave expanding out to 22 weeks. Can the minister please outline the aspects of the Albanese government's paid parental leave reforms and how these reforms will benefit many mums and dads in our community?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ciccone for asking this question and acknowledge the role he plays in bringing up his lovely son, who brings joy into this chamber. Paid parental leave is a proud Labor legacy. Under the Albanese government, PPL is being expanded and reformed to better support modern families. From yesterday, 1 July, PPL has expanded to 22 weeks. Each parent has two weeks of leave reserved for them, and the rest of the weeks—now 18 weeks—can be shared however those parents decide. This gives families the flexibility and choice to decide how they want to care for their children. And it certainly sends a signal to dads and non birth parents that their care is important too and that we want to support them to be an active carer early in their children's lives.

These additional two weeks are the next step towards reaching 26 weeks of leave by 2026, delivering the largest expansion to PPL since Labor established it in 2011. When it is expanded to a full six months by 2026, families will receive an extra six weeks of paid leave following the birth or adoption of their child. That change started yesterday, and congratulations to those families who got a new family member yesterday. This builds on the changes from 1 July last year.

This morning I met a number of parents with small children, including one who was six days old and so, unfortunately, had just missed out on the extension—despite her mother's best efforts to hold on! I talked to them about the role of a government funded PPL scheme made in terms of easier choices for them as they're bringing up their children, including with the shared parenting and shared care arrangements that many families are opting for now.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, first supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Thanks, Minister, for that comprehensive answer. I'm sure many mums and dads out there will welcome the government's announcement.

Opposition Senators:

Opposition senators interjecting—

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Unlike those opposite. It's clear that expanded paid parental leave is an important structural reform, removing barriers for many families and giving women and men more choice. Can you please explain how paying superannuation on paid parental leave will actually benefit women and support their economic security?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ciccone for the supplementary. Super will be paid on PPL from 1 July 2025. This is an important Labor reform and again demonstrates that these big changes to support women and women's economic security are only put in place when you have a Labor government. One-third of our gender pay gap can be attributed to the time women spend caring for families and interruptions in full-time employment. As these lower earnings accumulate over their lifetime, they're exacerbating the gap between men's and women's superannuation balances at retirement. Recent ATO data puts that gender super gap between 22 per cent and 32 per cent. We on this side of the chamber don't believe that women should be penalised with financial insecurity in retirement just because they take on these important caring roles. You're paid super on your sick leave. You're paid super on your annual leave. There's no reason why it shouldn't be paid on your parental leave too. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, second supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

These paid parental leave reforms are just one example of the Albanese government removing barriers that hold women back and limit their choice. We know meaningful change means looking at every single policy area and working to fix structures and systems, not women because they aren't broken. Can the minister please outline how the federal Labor government is working for women?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ciccone for that supplementary. From yesterday, 1 July, there are tax cuts for every taxpayer, including for every woman taxpayer, with an average tax cut of $1,650. Ninety per cent of women will be better off under our plan by an average of $707. There is $300 off every household's energy bill, a freezing of the cost of PBS medicines and a pay rise for 2.6 million workers on award wages. We know that many of those workers are women. We know that, in many households, it's women who put the budget together and that these measures are going to directly support them and the work that they do in keeping their households ticking over. We've also got investments in women's safety, our super on PPL, our investment in rent assistance—again, where the majority of those who will receive it are women, particularly women with children—our investment to reduce HELP loans and our investments in women's health— (Time expired)