Business getting ready for Paid Parental Leave
Australian businesses are getting ready for their role in providing Government-funded Paid Parental Leave to new parents from 1 July this year.
To help employers prepare for the 1 July start date the Australian Government today released a new toolkit for employers with a range of information on Paid Parental Leave.
The toolkit provides information about the responsibilities of employers in providing Paid Parental Leave to their eligible employees and how to do this. From 1 July employers will be required to provide Government-funded Paid Parental Leave to their long term employees through their normal pay-cycles.
More than 8,100 employers have already registered to provide Paid Parental Leave to their eligible employees. Of these, almost 30 per cent are small businesses and about 70 per cent are medium and large businesses.
Australian businesses have been able to elect to start paying their employees since 1 January. So far 400 employers are providing government-funded Paid Parental Leave to their employees.
The role of employers is important to help make sure that parents stay connected to the workforce when they take time off with a new baby. Businesses benefit from Paid Parental Leave by keeping valuable and skilled staff.
We have made sure that providing Government-funded Paid Parental Leave will be ‘business as usual’ for employers.
Businesses will get the money upfront from the Government, and pay their employees through their usual pay cycle. There is no need for special bank accounts or special reports.
Employers will only need to provide Government-funded Paid Parental Leave to employees who have been working with them for 12 months or more. Other eligible parents will be paid through the Family Assistance Office.
Employers only need to register when they have an eligible employee but we encourage businesses to find out more or register their details at www.centrelink.gov.au or by calling the Centrelink Business Hotline on 13 11 58.
The Government’s scheme should be provided in addition to existing employer-funded paid parental leave schemes. This will help employers enhance the family-friendly workplace conditions many already offer.
The toolkit is available at: www.centrelink.gov.au/internet/internet.nsf/businesses/ppl_toolkit.htm