Labor's Plan to Protect Paid Parental Leave

A Shorten Labor Government will put people first by reversing Malcolm Turnbull’s unfair cuts to paid parental leave.

Under Labor’s policy, 80,000 families each year will be as much as $11,800 better off than they would be under the Liberals.

By contrast, if Malcolm Turnbull is re-elected, new mums will be forced to choose between returning to work early and missing out on time with their newborn, or staying at home and having their living standards drastically reduced. 

Why are we doing this? 

Exactly one year ago – on Mother’s Day – the Liberal Government announced huge cuts to Labor’s paid parental leave scheme. Senior Liberal Ministers disgracefully labelled hardworking mothers double-dippers, rorters and fraudsters.

In the 2016 Budget, Malcolm Turnbull locked in cuts to paid parental leave. It is now clear that if Malcolm Turnbull is re-elected, new parents will face cuts that will leave them as much as $11,800 worse off. 

If Labor is elected on 2 July, we will immediately end the Liberals’ war on working mums. We will protect their paid parental leave entitlements and their living standards. 

The choice for families is clear this election: Malcolm Turnbull and the Liberals will cut paid parental leave, cut family payments and cut penalty rates, all while giving tax cuts to millionaires and multinationals. Labor will put families first.

Labor’s Record

In 2011, Labor delivered Australia’s first national paid parental leave scheme. Since then, more than 730,000 families have been given extra support to spend time at home in the critical early months of their child’s life.   

Labor’s paid parental leave scheme gives eligible new parents 18 weeks’ pay at the National Minimum Wage. 

This is a modest and affordable scheme that appropriately targets assistance to women on low and middle incomes.

More than 75 per cent of parents receiving Labor’s paid parental leave scheme are on incomes of less than $70,000 a year.

The Liberals’ Record 

Malcolm Turnbull and the Liberals simply cannot be trusted when it comes to Paid Parental Leave. 

Before the last election, the Liberals promised an unfair and unaffordable paid parental leave scheme that would have given $75,000 to millionaires to have a baby.

Then they proposed a $50,000 payment to millionaires. 

After breaking their promise, now the Liberals are promising to cut thousands of dollars from the household budgets of young families. 

If Malcolm Turnbull is re-elected, 80,000 new mums each year will lose as much as $11,800 in Paid Parental Leave.

Malcolm Turnbull’s election promise to cut paid parental leave shows how out of touch he is with middle and working class families. 

He is promising to cut support for hardworking families at the same time as promising a new $1000 baby bonus which the country can’t afford. 

Only Labor can be trusted to deliver a fair paid parental leave scheme. 

Financial Implication

According to a preliminary estimate by the independent Parliamentary Budget Office, Labor’s proposal will cost $1.4 billion over the forward estimates.