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Parental Leave Pay

The Paid Parental Leave Act 2010 (Cth) provides for paid leave for both parents after the birth or adoption of a child.

Due to the Paid Parental Leave Amendment (Improvements for Families and Gender Equality) Act 2023 (Cth), there are now different laws in place for children born or adopted before and after 1 July 2023.

Applications for Parental Leave Pay must be made within certain timeframes [see Services Australia Claiming timeframes]. In some circumstances, payment will be made through an employer [Part 3-2].

Parental Leave Pay is limited to the set maximum, even in the case of multiple births such as twins [s 20].

Children born or adopted before 1 July 2023

The primary carer of a child born or adopted before 1 July 2023 may be eligible for up to 18 weeks of paid leave. This includes continuous Paid Parental Leave period of up to 12 weeks, and 30 Flexible Paid Parental Leave days.

Eligibility is dependent on the person applying [Part 2-3]:

  • being the primary carer of the child
  • meeting the income test
  • meeting the work test (a minimum amount of work in the 13 months before the birth or adoption)
  • meeting the residency rules
  • not working during the period of paid leave, subject to limited exceptions
  • registering, or applying to register, the birth of a newborn child.

Flexible Paid Parental Leave days can be taken up to two years after the birth or adoption of the child, and can be taken after the person applying has returned to work.

Paid Parental Leave can be taken before, during or after any paid or unpaid employer funded leave, including maternity or paternity leave, annual leave or long service leave.

For more information visit the Services Australia website.

Prior to 1 July 2023, partners of primary carers may be eligible for Dad and Partner Pay. Similar eligibility requirements apply, in particular that the person applying must have care for a newborn or newly adopted child. There are also limitations on taking paid leave while in receipt of Dad and Partner Pay.

Dad and Partner Pay will be abolished for children born or adopted after 1 July 2023 [Chapter 3A is repealed].

Children born or adopted from 1 July 2023

Carers of a child born or adopted on or after 1 July 2023 may be eligible for up to 20 weeks (100 days) of paid leave [s 31AB].

Eligibility is dependent on the person applying [Part 2-3]:

  • being an eligible person, including the birth mother or her partner, the biological father or his partner, or an adoptive parent [s 54]
  • be caring for the child
  • meeting the income test (either individually, or for the person applying and their partner's combined adjusted taxable income if the person applying is over the individual limit) [see s 41]
  • meeting the work test (a minimum amount of work in the 13 months before the birth or adoption for all people on the application, including the birth mother)
  • meeting the residency rules
  • not working on days of paid leave, subject to limited exceptions
  • registering, or applying to register, the birth of a newborn child.

The birth mother must approve the number of Parental Leave Pay days they share with other applicants, and the applications made by other applicants [s 59A]. There is provision for consent to be revoked.

Parental Leave Pay is all available as Flexible Paid Parental Leave - it can all be taken in blocks as small as a day at a time [Part 2-1]. There is no penalty or restriction on the person returning to work, provided they are not working on a day of paid leave. It can be taken before, during or after any paid or unpaid employer funded leave, including maternity or paternity leave, annual leave or long service leave.

If a birth mother does not meet the residence requirements, another person applying may still be successful if they meet the eligibility requirements and the birth mother provides permission for them to claim.

Up to two weeks' Parental Leave Pay can be used simultaneously by eligible claimants [s 21].

Parental Leave Pay must be used within two years of the child's birth or adoption [ss 11D and 275].

You must advise Services Australia if your circumstances change while receiving Parental Leave Pay.

For more information visit the Services Australia Services Australia website.

Other entitlements

If ineligible for Paid Parental Leave, an application might be eligible for other payments such as the Newborn Upfront Payment or the Newborn Supplement [contact Services Australia]

For information about unpaid leave rights pursuant to the Fair Work Act 2009 (Cth) and the National Employment Standards, see The National Employment Standards and the Fair Work Ombudsman.

Parental Leave Pay  :  Last Revised: Wed Mar 29th 2023
The content of the Law Handbook is made available as a public service for information purposes only and should not be relied upon as a substitute for legal advice. See Disclaimer for details. For free and confidential legal advice in South Australia call 1300 366 424.