Paid Parental Leave Act. Australia

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      Paid Parental Leave Act

      Act No. 104 of 2010 as amended

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      Chapter 1—Introduction

      Part 1–1—Introduction

      Division 1—Preliminary

      1 Short title [see Note 1^[1]]

      This Act may be cited as the Paid Parental Leave Act 2010.

      2 Commencement

      This Act commences on 1 October 2010.

      3 Act binds Crown

      (1) This Act binds the Crown in each of its capacities.

      (2) However, this Act does not make the Crown liable to be prosecuted for an offence.

      (3) To avoid doubt, subsection (2) does not prevent the Crown from being liable to pay a pecuniary penalty under section 147 or 159.

      Note: Section 147 deals with civil penalty orders and section 159 deals with infringement notices.

      Division 1A — Object of this Act

      3A Object of this Act

      (1) The object of this Act is to provide financial support to primary carers (mainly birth mothers) of newborn and newly adopted children, in order to:

      (a) allow those carers to take time off work to care for the child after the child’s birth or adoption; and

      (b) enhance the health and development of birth mothers and children; and

      (c) encourage women to continue to participate in the workforce; and

      (d) promote equality between men and women, and the balance between work and family life.

      (2) Generally, the financial support is provided only to primary carers who have a regular connection to the workforce.

      (3) The financial support provided by this Act is intended to complement and supplement existing entitlements to paid or unpaid leave in connection with the birth or adoption of a child.

      Division 2—Guide to this Act

      4 Guide to this Act

      Overview

      This Act provides for the payment of parental leave pay to a person in the first year after the birth of a child or, for adoption, the placement of a child.

      Parental leave pay is paid to a person for a particular period. That period is called the person’s PPL period. The maximum period for which any person may be paid parental leave pay is 18 weeks. A person’s PPL period may be the full 18 weeks or a lesser period (e.g. where the person is not eligible for parental leave pay for that full period).

      Parental leave pay is paid in instalments at the national minimum wage for each week day during the person’s PPL period. It is paid by either the person’s employer or the Secretary.

      Chapter 2—When parental leave pay is payable to a person

      Chapter 2 sets out when parental leave pay is payable to a person. The key provisions for the Chapter are found in Part 2–1.

      A person can only be paid parental leave pay if the Secretary makes a determination that parental leave pay is payable to the person. Part 2–2 has the rules about when the Secretary can make that determination.

      The Secretary cannot make that determination if the person is not eligible for parental leave pay. Part 2–3 has the rules about eligibility. For the main case, to be eligible a person must (broadly):

      (a) satisfy the work test, the income test and the Australian residency test; and

      (b) be the child’s primary carer; and

      (c) not have returned to work; and

      (d) not be entitled to baby bonus.

      The Secretary also cannot make that determination if the person has not made a claim for parental leave pay. Part 2–4 has the rules about claims.

      There are 3 types of claims: a primary claim, a secondary claim and (in rare cases) a tertiary claim. These claims relate to each other, although the primary claim is the main one — a secondary or tertiary claim cannot be made without it. The primary claim will often be the only claim that is made. If a secondary or tertiary claim is made, that claim will be for the part of the maximum 18 week period (or lesser period) in which parental leave pay was not payable to the primary claimant.

      Chapter 3—Payment of parental leave pay

      Chapter 3 sets out how parental leave pay is paid to a person.

      Part 3–1 is about instalments of parental leave pay. It deals with when instalments must be paid, whether the person’s employer or the Secretary must pay them and the amount of the instalments.

      Part 3–2 sets out when a person’s employer must pay instalments to the person. The employer is only required to do that if an employer determination has come into force for the employer and the person, and the employer has been paid enough by the Secretary to fund the instalment.

      Part 3–3 sets out when the Secretary must pay instalments directly to the person. The Secretary is required to do that if an employer determination is never made for the person (e.g. the person is a contractor and so does not have an employer). There are some other circumstances in which the Secretary is also required to pay instalments directly to the person (such as when an employer determination is being reviewed or has been revoked).

      Part 3–4 has general rules about the payment of instalments (such as what happens when an instalment cannot be paid on the day specified in this Act).

      Part 3–5 is about employer determinations. If an employer determination is in force for an employer and a person, the employer must pay instalments to the person. The Secretary must be satisfied that certain conditions have been met before the Secretary can make an employer determination.

      Chapter 4—Compliance and enforcement

      Chapter 4 deals with compliance and enforcement.

      Part 4–1 allows the Secretary to gather information for the purposes of checking compliance with this Act. It also deals with the confidentiality of personal and protected information.

      Part 4–2 deals with other compliance matters. It allows the Secretary to refer matters to the Fair Work Ombudsman for investigation if the Secretary has reason to believe that an employer has not complied with certain obligations under this Act. It also deals with civil penalty provisions, compliance notices and infringement notices.

      Part 4–3 provides for debts in relation to the parental leave pay scheme, and for the recovery of debts owing to the Commonwealth.

      Chapter 5—Review of decisions

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