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Monday, December 23, 2024

Extended paid parental leave; consumer complaints

From 1 July, parents can receive 22 weeks of Paid Parental Leave, up from 20 weeks, the Federal Government announced.

The Paid Parental Leave scheme will reach 26 weeks in July 2026, when families will receive $24,000 in government-funded parental leave.

By expanding the scheme to a full six months, families will receive an extra six weeks of paid leave after the birth or adoption of their child.

Amanda Rishworth MP, Minister for Social Services, claims this is the largest expansion to Paid Parental Leave since it was established in 2011.

“From day one, we have strived to make the Paid Parental Leave scheme more flexible, accessible, and gender equitable,” Ms Rishworth said.

“This historic expansion is expected to benefit around 180,000 families each year, giving families the choice to use the scheme in the way that works best for them.”

Ms Rishworth said that the additional two weeks of Paid Parental Leave and the new National Minimum Wage increase of 3.75 per cent meant Australian families would be $2,500 better off.

Superannuation will also be paid on Paid Parental Leave from July 2025. Legislation will be put to the parliament later this year. Eligible parents with babies born or adopted on or after 1 July 2025 will receive an additional payment, based on the Superannuation Guarantee (12 per cent of their Paid Parental Leave payment), as a contribution to their nominated superannuation fund. This will result in parents who take time off to care for their newborn having $4,000 extra in their retirement incomes.

Katy Gallagher, Minister for Women, said this was an important step towards gender equality, as most Paid Parental Leave recipients are women.

“Our changes to PPL are essential economic reforms that recognise that unpaid care is valued and necessary in our economy,” Senator Gallagher said.

“This reform supports the sharing of care, while also giving women and families more choice and flexibility.”

Consumer and small business advocates

Three consumer and small business advocates have been appointed as designated complainants.

Designated complainants will be able to submit complaints to the Australian Competition and Consumer Commission (ACCC) about significant or systemic market issues affecting Australian consumers or small businesses.

When a designated complaint is lodged, the ACCC will be required to consider and publicly respond to the complaint within 90 days stating what further action, if any, will be taken in response.

The approved designated complainants are:

  • Australian Consumers’ Association (CHOICE)
  • Consumer Action Law Centre (CALC)
  • Council of Small Business Organisations Australia (COSBOA).

CHOICE, the largest member-based consumer organisation in Australia, supports consumers through independent testing, research, and advocacy.

CALC, a consumer advocacy organisation and community legal centre, has represented vulnerable and disadvantaged Australian consumers’ interests for nearly two decades.

COSBOA, a peak body representing the interests of small businesses, has a long history of advocacy.

Each organisation has been approved as a designated complainant until 1 July 2027.

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