Australia Combines and Expands Parental Leave Entitlements

UPDATE: From 1 July 2026, government-paid combined gender-neutral parental leave increases from 24 weeks to 26 weeks, reaching the final stage of the legislated expansion.

Background

Previously, parental leave benefits were provided through the Parental Leave Pay (PLP) and Dad and Partner Pay (DAPP) schemes. PLP provided new mothers and primary caregivers with up to 18 weeks of paid parental leave, while DAPP provided new fathers or partners with up to two weeks of paid leave.

Key details

The PLP and DAPP schemes were combined into a 20-week gender-neutral parental leave entitlement, available to either parent, with single parents eligible for the full entitlement. This change took effect on 1 July 2023.

From 1 July 2024, the entitlement has been progressively expanded by two weeks per year, reaching a statutory maximum of 26 weeks from 1 July 2026. The entitlement is government-funded and paid at the national minimum wage rate.

The income threshold to qualify for parental leave benefits is AUD 156,647 per parent or AUD 350,000 per family.

Parents have equal access to the entitlement and may decide how to allocate the leave between them, including taking it concurrently or sequentially.

Parents have up to two years from the date of birth or adoption of their child to use the entitlement, after which unused leave is forfeited. Leave may be taken in blocks or in single-day increments.

Next steps

Employers should update internal leave policies and practices, employment agreements, and company-level collective bargaining agreements as needed to reflect the expanded parental leave entitlement.