Paid parental leave to expand to 26 weeks progressively, and to include super from July 2025.
Australia’s paid parental leave scheme has been expanded to 26 weeks after the Senate passed the government’s reforms, gradually increasing the paid leave by two weeks each year from July 2024 until reaching the 26-week rate in 2026.
Social Services Minister Amanda Rishworth praised the “historic” changes, highlighting increased support for Australian households, particularly mothers.
Starting July 1, new parents who had or adopted a child after July 2023 can access the expanded maternity leave scheme. Eligible new parents will receive $882.75 weekly, equivalent to five days of the minimum wage. The current payment duration of 20 weeks will initially increase to 22 weeks from July 2024, then 24 weeks from July 2025, and finally to 26 weeks from July 2026.
It's available to both parents if their combined income is less than $350,000.If their income exceeds this, the majority of leave can be provided to one parent earning less than $168,865. Single parents must earn less than $350,000 to access maternity leave payments.
The changes come after Labor announced it will pay superannuation on government-funded parental leave from July next year, responding to calls from industry super funds, gender advocacy groups, and government reviews to narrow the gender gap in Australians’ retirement savings. Currently, women retire with about 30 per cent less in retirement savings than men – which adds up to about $67,000.
Under the proposal, parents of babies born on or after July 1 2025 will receive 12 per cent superannuation on top of their government-funded parental leave.
In a statement, Prime Minister Anthony Albanese emphasised that the new reforms represent the most significant enhancement to paid parental leave since 2011.
"Our policy aims to provide families with increased leave and flexibility, ensuring the system aligns with their needs," stated the Prime Minister. He added, "A parental leave system that enables women's full and equal participation will benefit businesses, families, and our economy."
