People Dynamics Newsletter - People Matters
Issue 59, January 2010 | Back to Newsletters Index
PD News
Happy New Year and welcome back! We hope you had a wonderful break and a great start to the year.
2010 promises to be a big year for business with signs of the economy
improving in many areas. We are excited about the coming year with the
launch of a brand new website and other marketing initiatives. We wish
you all the best and look forward to continuing to work closely with many
of you.
The Australian Government’s New Paid Parental Leave Scheme
The Australian Government has promised to introduce a comprehensive Paid Parental Leave (PPL) scheme for new parents who are the primary carers of a child born or adopted on or after 1 January 2011. This scheme will only be available for one of the primary carers, who earns less than $150,000 in a financial year. The Government’s rationale behind the PPL scheme is that it will provide greater financial support to families, increase workforce participation and promote early childhood development.
Employers will be responsible for making PPL payments only when the employee has completed 12 months of continuous service prior to the date of birth or adoption of the child and will be available to full-time, part-time and casual employees, as well as contractors and the self-employed. During the PPL payment period, employees will not receive superannuation payments or accrue leave entitlements.
Eligible employees will receive taxable PPL payments at the level of the Federal Minimum Wage, which is currently $543.78 a week, for a maximum period of 18 weeks. In most cases, the person will receive the payment through their employer, and the Family Assistance Office will ensure that employers receive the required Government funds in advance of their making PPL payments to the employee in their usual payroll cycle.
If you would like more information please visit the Australian Government Department of Families, Housing, Community Services and Indigenous Affairs website (www.fahcsia.gov.au) or email us for a copy of Australia’s Paid Parental Leave Scheme booklet. www.fahcsia.gov.au
Legal Update
Just a reminder that as of 1st of January 2010 the National Employment Standards became law. Similarly modern awards have been introduced with over 1500 awards being made into 122. These are now law, however provide transitional periods in which wages and other such entitlements will be phased in.
If you have any queries about the above mentioned standards or awards
please do not hesitate to contact us.