Article by Stuart Kollmorgen and Andrea Motbey
The Rudd government has announced the introduction of a
government paid parental leave (PPL) scheme, which
will commence from 1 January 2011. Most of the detail of the scheme
has been released, but the government will be consulting employers
and business groups about the scheme in the second half of
2009.
Paid Parental Leave – what is it and who gets
it?
The scheme will entitle the primary care giver of a child born
or adopted on or after 1 January 2011 to 18 weeks of PPL payments
at the minimum wage, which is currently $543.78 per week. This
entitlement will be available to full-time, part-time and casual
employees, as well as contractors and the self-employed, and all
recipients will get the full weekly rate. The entitlement will be
subject to income tax, and will be income tested at $150,000 based
on the primary carer's adjusted taxable income in the year
prior to the birth, adoption or date of claim.
