CareforKids.com.au Social: Meet, Talk, Share, Explore, Learn
Let's catchup with the rest of the world on the issue of paid maternity leave...
Australia is one of only two countries in the Organsation for Economic Cooperation and Development (the other is the USA) not to have some form of paid maternity leave system.
While some progressive organisations have identified the positive benefits of offering women paid leave and have made their own provisions, the majority has not and for some small companies it is simply not affordable.
Productivity Commission Inquiry
The paid leave debate has rarely left the headlines this year after the Rudd Labor Government announced that the Productivity Commission would run a public inquiry (http://www.pc.gov.au/projects/inquiry/parentalsupport) into paid maternity, paternity and parental leave for the parents of newborns up to two years.
Among other things the Commission is researching the social and economic costs of providing paid leave and will identify models that could be used to provide parental support in Australia.
In September 2008 the publication of the preliminary report from the Productivity Commission on paid maternity leave was released it recommends the Government adopt an 18-week taxpayer funded scheme, at a cost of $450 million a year, where working mothers will receive paid leave at the minimum wage of $544 per week.
The Commission is due to release a report of its findings early next year and a press release from the Minister for Employment and Workplace Relations the Hon. Julia Gillard MP says the findings will help ensure:
‘Any policy reforms in this area will be aimed at ensuring strong and sustainable economic growth, take into account our ageing population and the importance of early childhood development, and support Australian families balance work and family responsibilities.’
The Government is holding off from making any commitments about paid parental leave until the results of the inquiry are available next year.
However other parties such as the Democrats and the Greens have already pledged their commitment to a tax-funded system of universal paid maternity leave.
12 Months Unpaid Leave
Australian women are legally entitled to 12 months off work after they have completed 12 months of continuous service in an organisation. Upon returning to work they are entitled to resume the position they held immediately prior to going on leave.
It is up to employers to determine whether or not any of this time will be paid.
The Australian Chamber of Commerce and small business industry groups have claimed that while they recognise the benefits of offering paid maternity leave it is simply not an affordable option for most small business operators.
In countries where national maternity leave has been introduced it has been successful in improving staff retention and return to work rates of new mothers.
Paid Parental Leave
Currently, Australian women working in the public sector, finance/insurance, utilities and education are most likely to receive paid maternity leave which is possibly a reflection of labour market shortages in these sectors.
Women working in low skill areas such as retail and hospitality are less likely to receive paid maternity leave.
According to the Government’s Equal Opportunity for Women in the Workplace Agency (EOWA) 67 per cent of female employees returned to their jobs in organisations where paid maternity leave was provided, while the retention rate in organisations without paid maternity leave was 56 per cent.
EOWA claims that the higher retention rate is because paid maternity leave signals a company’s commitment to their employees.
Other benefits include reduced recruitment and training costs, improved staff morale and productivity, improved organisational efficiency through the benefits of long service employees such as industry knowledge and access to contact and networks and improved employee loyalty.
Increasing Support
In an unprecedented first for Australia, spokespeople from unions, business and the Human Rights and Equal Opportunity Commission (HREOC) recently joined forces to promote the benefits of a universal tax payer funded paid maternity leave system.
The joint media release distributed by HREOC Sex Discrimination Commissioner Elizabeth Broderick, Australian Council of Trade Unions (ACTU) President Sharan Burrow and Australian Industry Group Chief Executive Heather describes the economic and social imperatives of introducing paid maternity leave:
“In an extremely tight labour market Australia’s continuing economic prosperity depends on encouraging more women back into the paid workforce after they’ve had children,” said
“At the moment, Australia has one of the lowest workforce participation rates in the OECD for women aged 25 to 44 - part of the problem is a lack of paid maternity leave and other measures to support primary carers,” said ACTU President Sharan Burrow.
Australian Industry Group Chief Executive Heather Ridout says there is no doubt that a national maternity leave system would deliver benefits to business, employees, the broader economy and society and children born to working parents.
“In addition, such a scheme would keep women linked to the workforce and demonstrate formal recognition of the opportunity costs facing women in terms of lost income and interrupted careers when they choose to have children. It would also demonstrate the dual roles of working women as mothers and employees is recognised and valued,” she said.
Professor Barbara Pocock, Co-Convenor of the Work and Family Policy Roundtable and Director of Uni SA’s Centre for Work + Life has also weighed in on the debate and says women on maternity leave should receive the same as people undertaking military reserve training.
“Paid maternity leave recognises and supports women's contribution to the labour market,” says Professor Pocock.
“It is essential to equality of opportunity for women at work and it gives all working mothers the chance for a decent, funded recuperation when they have a baby. It is primitive and unfair to run a labour market without such a basic provision for all women and we also need to support working fathers with some paid leave.”
With the increasing groundswell of support for some kind of universal Government sponsored system of paid maternity leave it seems Australia may finally be made to catch up to its OECD counterparts.
While some progressive organisations have identified the positive benefits of offering women paid leave and have made their own provisions, the majority has not and for some small companies it is simply not affordable.
Productivity Commission Inquiry
The paid leave debate has rarely left the headlines this year after the Rudd Labor Government announced that the Productivity Commission would run a public inquiry (http://www.pc.gov.au/projects/inquiry/parentalsupport) into paid maternity, paternity and parental leave for the parents of newborns up to two years.
Among other things the Commission is researching the social and economic costs of providing paid leave and will identify models that could be used to provide parental support in Australia.
In September 2008 the publication of the preliminary report from the Productivity Commission on paid maternity leave was released it recommends the Government adopt an 18-week taxpayer funded scheme, at a cost of $450 million a year, where working mothers will receive paid leave at the minimum wage of $544 per week.
The Commission is due to release a report of its findings early next year and a press release from the Minister for Employment and Workplace Relations the Hon. Julia Gillard MP says the findings will help ensure:
‘Any policy reforms in this area will be aimed at ensuring strong and sustainable economic growth, take into account our ageing population and the importance of early childhood development, and support Australian families balance work and family responsibilities.’
The Government is holding off from making any commitments about paid parental leave until the results of the inquiry are available next year.
However other parties such as the Democrats and the Greens have already pledged their commitment to a tax-funded system of universal paid maternity leave.
12 Months Unpaid Leave
Australian women are legally entitled to 12 months off work after they have completed 12 months of continuous service in an organisation. Upon returning to work they are entitled to resume the position they held immediately prior to going on leave.
It is up to employers to determine whether or not any of this time will be paid.
The Australian Chamber of Commerce and small business industry groups have claimed that while they recognise the benefits of offering paid maternity leave it is simply not an affordable option for most small business operators.
In countries where national maternity leave has been introduced it has been successful in improving staff retention and return to work rates of new mothers.
Paid Parental Leave
Currently, Australian women working in the public sector, finance/insurance, utilities and education are most likely to receive paid maternity leave which is possibly a reflection of labour market shortages in these sectors.
Women working in low skill areas such as retail and hospitality are less likely to receive paid maternity leave.
According to the Government’s Equal Opportunity for Women in the Workplace Agency (EOWA) 67 per cent of female employees returned to their jobs in organisations where paid maternity leave was provided, while the retention rate in organisations without paid maternity leave was 56 per cent.
EOWA claims that the higher retention rate is because paid maternity leave signals a company’s commitment to their employees.
Other benefits include reduced recruitment and training costs, improved staff morale and productivity, improved organisational efficiency through the benefits of long service employees such as industry knowledge and access to contact and networks and improved employee loyalty.
Increasing Support
In an unprecedented first for Australia, spokespeople from unions, business and the Human Rights and Equal Opportunity Commission (HREOC) recently joined forces to promote the benefits of a universal tax payer funded paid maternity leave system.
The joint media release distributed by HREOC Sex Discrimination Commissioner Elizabeth Broderick, Australian Council of Trade Unions (ACTU) President Sharan Burrow and Australian Industry Group Chief Executive Heather describes the economic and social imperatives of introducing paid maternity leave:
“In an extremely tight labour market Australia’s continuing economic prosperity depends on encouraging more women back into the paid workforce after they’ve had children,” said
“At the moment, Australia has one of the lowest workforce participation rates in the OECD for women aged 25 to 44 - part of the problem is a lack of paid maternity leave and other measures to support primary carers,” said ACTU President Sharan Burrow.
Australian Industry Group Chief Executive Heather Ridout says there is no doubt that a national maternity leave system would deliver benefits to business, employees, the broader economy and society and children born to working parents.
“In addition, such a scheme would keep women linked to the workforce and demonstrate formal recognition of the opportunity costs facing women in terms of lost income and interrupted careers when they choose to have children. It would also demonstrate the dual roles of working women as mothers and employees is recognised and valued,” she said.
Professor Barbara Pocock, Co-Convenor of the Work and Family Policy Roundtable and Director of Uni SA’s Centre for Work + Life has also weighed in on the debate and says women on maternity leave should receive the same as people undertaking military reserve training.
“Paid maternity leave recognises and supports women's contribution to the labour market,” says Professor Pocock.
“It is essential to equality of opportunity for women at work and it gives all working mothers the chance for a decent, funded recuperation when they have a baby. It is primitive and unfair to run a labour market without such a basic provision for all women and we also need to support working fathers with some paid leave.”
With the increasing groundswell of support for some kind of universal Government sponsored system of paid maternity leave it seems Australia may finally be made to catch up to its OECD counterparts.
Views: 2
Events
iGoogle child care gadget
Add this gadget to your iGoogle page. See local child care vacancies at a glance!
© 2012 Created by CareforKids.com.au Social.
