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The complexity of managing maternity & parental leave with more changes to come…

The complexity of managing maternity & parental leave with more changes to come…

Managing pregnancy and a return to work often presents challenges for small businesses especially when they don’t have access to Human Resource Staff or knowledge of workplace laws.

To add to the confusion, Parental leave legislation is about to undergo more changes and if passed will take effect from 1 July 2016.

Some of the key proposed changes may include:

  • •  Employers not being obliged to manage government-funded leave entitlements
  • •  Double dipping will cease – employees won’t be eligible for government funded entitlements if their employer provides benefits which are the same or more. It has been reported that this could result in almost $1 billion in savings.

 Current Paid Parental Leave Scheme

The existing government paid parental leave scheme (Paid Parental Leave Act 2010) entitles eligible persons to a maximum of 18 weeks pay at the minimum wage in addition to their employer funded paid parental leave scheme if there is one.

Dads or partners may also be entitled to 2 weeks of government-funded pay at the National Minimum Wage so long as the dad or partner is on leave.

There are also obligations on most employers to register and administer the government’s paid parental leave scheme.

Workplace Entitlements and Employer Obligations

Parental leave in the workplace is unpaid.

Some employers choose to offer paid parental leave to their employees as an added benefit or incentive to attract and retain talent. However, this is not compulsory.

Parental leave forms part of the National Employment Standards and consists of:

  • •  Maternity Leave
  • •  Paternity and Parental Leave
  • •  Adoption and Pre-adoption Leave
  • •  Paid and unpaid No Safe Job Leave
  • •  A right to return to old job
  • •  Special Maternity Leave

Employees (including eligible casual employees) with 12 months or more regular and systematic continuous service who will have responsibility for the care of a child are entitled to take up to 12 months of unpaid parental leave, with the right to request an additional 12 months or flexible return to work options.

Whilst there can be many benefits for accommodating flexibility and retaining employees who take parental leave, employers can refuse a request to extend paid parental leave or flexible return to work options if certain criteria is met.

Obligations for employers in managing parental leave include:

  • •  Parental Leave record keeping obligations
  • •  Consultation requirements
  • •  Providing safe work options or providing paid or unpaid ‘no safe job leave’
  • •  Providing a return to work guarantee
  • •  Keeping in touch
  • •  Considering flexible work arrangements on return to work
  • •  Notifying replacement workers that their engagement is temporary

Employee obligations

Employees are required to notify their employer in writing that they intend to take parental leave by giving at least 10 weeks notice (unless it is not possible to do so).

Employees must also specify and confirm the intended start and end dates of the leave and provide at least 4 weeks notice of any changes to their return to work or for second or subsequent periods.

An employer may request evidence of the expected date of birth (eg: a Medical Certificate) and seek to clarify whether the employee is fit to continue working.

Help and assistance

There is a plethora of regulation that impacts on employer’s obligations with regards to managing parental leave, pregnancy and return to work including Awards, anti-discrimination laws, national employment standards and work health and safety regulations.

For help or assistance in managing your parental leave obligations, feel free to contact Human Resource Services on 07 5530 1571.

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