Parental Leave Changes: What Employers Need to Know
Major changes to paid and unpaid parental leave have been introduced progressively from 2024 to 2026.
These reforms affect employer obligations under both the National Employment Standards (NES) and the Government-funded Paid Parental Leave scheme.
For employers, the changes highlight the importance of keeping workplace policies, payroll systems and workforce planning processes up to date.
What parental leave changes have occurred?
Australia’s parental leave framework has been expanded to provide greater flexibility and support for families.
Key changes include increases to Government-funded Paid Parental Leave and updates to how parents can access and share leave.
Paid Parental Leave changes
The Government-funded Paid Parental Leave scheme has increased progressively:
From 1 July 2025: eligible families can access up to 24 weeks of Paid Parental Leave (120 days)
From 1 July 2026: eligible families can access up to 26 weeks of Paid Parental Leave
The scheme also provides greater flexibility, including:
increased ability for parents to share leave
additional days reserved for partners or secondary carers
greater flexibility in how leave can be taken
Eligibility and entitlement details continue to depend on the child’s birth or adoption date.
Employers should ensure they understand the current scheme requirements and how they interact with workplace parental leave obligations.
Unpaid parental leave under the National Employment Standards
Under the Fair Work Act 2009, eligible employees continue to have access to unpaid parental leave entitlements under the National Employment Standards (NES).
These include:
up to 12 months of unpaid parental leave
the ability to request an additional 12 months of leave
options for parents to structure and share leave arrangements
The NES also provides flexibility around concurrent leave and how parents access their entitlements.
Employers should ensure managers understand these rights and respond appropriately to employee requests.
What do parental leave changes mean for employers?
The expansion of parental leave entitlements has practical implications for workforce planning and HR processes.
Employers should consider how longer and more flexible leave arrangements may affect:
workforce continuity
rostering and scheduling
recruitment and temporary backfilling
payroll and HR systems
employee communication
manager capability
For many organisations, particularly those with smaller teams or specialised roles, proactive planning is essential.
Employer parental leave compliance checklist
Employers should review:
Policies and procedures
Ensure parental leave policies reflect current legislative requirements and clearly explain employee entitlements.
Payroll and HR systems
Confirm systems accurately record and administer:
parental leave arrangements
return-to-work dates
paid and unpaid leave periods
related employee entitlements
Manager training
Managers should understand:
employee parental leave rights
how to respond to requests appropriately
how to support employees before, during and after parental leave
Workforce planning
Consider how longer periods of leave may affect:
staffing requirements
recruitment needs
workload allocation
team communication
Common parental leave compliance risks
Employers may face risks where they:
rely on outdated parental leave policies
incorrectly administer employee entitlements
fail to communicate options clearly
do not train managers on their obligations
mishandle return-to-work arrangements
Regular policy reviews and manager education can help reduce these risks.
Frequently asked questions about parental leave
How much Paid Parental Leave is available in Australia?
From 1 July 2026, eligible employees can access up to 26 weeks of Government-funded Paid Parental Leave.
The entitlement applies progressively based on the child’s birth or adoption date and eligibility requirements.
Do employers have to pay Paid Parental Leave?
Government-funded Paid Parental Leave is not generally an employer-funded entitlement. However, employers have obligations to administer payments where required and manage employee leave arrangements correctly.
How much unpaid parental leave can employees take?
Eligible employees can access up to 12 months of unpaid parental leave and may request an additional 12 months under the Fair Work Act 2009.
Do employers need to update their parental leave policy?
Yes. Employers should regularly review policies to ensure they reflect current legislative requirements and workplace practices.
How Workplace Plus can help
Workplace Plus supports organisations to manage changing workplace obligations through practical HR advice, policy reviews and compliance support.
Our consultants can assist with:
reviewing and updating parental leave policies
reviewing HR processes and documentation
supporting managers with employee leave matters
providing broader HR compliance advice
Keeping your HR systems and policies current helps create a workplace where employees understand their rights and employers can confidently meet their obligations.
For more information about parental leave compliance support, contact Workplace Plus today.
