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A Time to Value - Proposal for a National Paid Maternity Leave Scheme

Recommendations

Chapter 13 Funding

Recommendation 1:
That a national paid maternity leave scheme be immediately implemented and funded by the federal Government.

Chapter 14 Coverage

Recommendation 2:
That a national scheme of paid leave at the time of birth of a child be provided for women. The exceptions to this, where payment can be made to a woman's partner, should include where the mother has died, where the mother is not medically able to care for the child (based on a doctor's opinion), or where the child has been adopted.

Recommendation 3:
That a government funded national scheme of paid maternity leave be available for women in paid work.

Recommendation 4:
That paid maternity leave be available to the primary carer of an adopted child irrespective of the age of the child.

Chapter 15 Eligibility

Recommendation 5:
That in order to be eligible for paid maternity leave a woman must have been in paid work (including casual employment, contract work and self-employment) for 40 weeks of the past 52 weeks with any number of employers and/or in any number of positions. Access to this payment should not be means tested.

Chapter 16 Duration

Recommendation 6:
That a national scheme of paid maternity leave provide for up to 14 weeks of paid leave to be taken immediately prior to and/or following the birth of a child.

The paid leave must be taken as a continuous block.

A woman may elect to take less than the full 14 weeks of paid maternity leave, but will only receive payment in the weeks taken as maternity leave.

Chapter 17 Payment level

Recommendation 7:
That government funded paid maternity leave be paid at the rate of the Federal Minimum Wage, or the woman's previous weekly earnings from all jobs, whichever is the lesser amount.

Previous weekly earnings are to be calculated as the greater of either a woman's weekly earnings from all jobs immediately prior to taking leave or an average of her weekly earnings from all jobs during the time in employment over the previous twelve months.

Chapter 18 Payment mechanism

Recommendation 8:
That paid maternity leave be paid as a fortnightly payment during the period of leave, administered by the federal Government and available through dual payment mechanisms.

Specifically, an individual may elect to receive payment as either:

Chapter 19 Role of employers

Recommendation 9:
That employers be encouraged to continue existing provisions for paid maternity leave and women, including public servants, should not be excluded from any government funded national scheme on the basis of receiving employer provided paid maternity leave.

Recommendation 10:
That employer top ups to government funded paid maternity leave be provided for and encouraged. Such top ups should be negotiated through standard bargaining mechanisms.

Recommendation 11:
That employers may agree to take on the administration of paid maternity leave payments on behalf of the Government and may be required to play a role in validating entitlement to government funded paid maternity leave entitlements.

Chapter 20 Interaction with the industrial relations system

Recommendation 12:
That current industrial arrangements in relation to maternity leave continue.

Chapter 21 Interaction with existing Government payments

Recommendation 13:
That a woman who receives paid maternity leave will not be eligible for the Maternity Allowance, the first 14 weeks of Family Tax Benefit Part A and Family Tax Benefit Part B, and the first 12 months of payment of the Baby Bonus. The maternity leave payment will be taxable.

Individuals will have the option of taking other available social security payments where this would result in higher payments.

Chapter 22 Data collection and review of the scheme

Recommendation 14:
That the Government review existing data collections to ensure that adequate information is collected on:

The establishment of these additional data collections should not delay the introduction of a national scheme of paid maternity leave.

Recommendation 15:
That the effectiveness, adequacy and coverage of a national scheme of paid maternity leave should be reviewed three years after the scheme's implementation.

Depending on the outcome of that review, it may be necessary to reconsider the eligibility criteria and/or payment levels. The Government may also wish to revisit some of the more contested aspects of the scheme as part of the review, including whether existing payments to women who are not in paid work are adequate and whether the payment should continue to be for mothers or whether it should be paid to the primary carer.