News Article

latest news in employment law

Parental Leave Payment Changes

Published 10 Jul 2016

From 1 July 2016 the maximum rate of paid parental leave for eligible employees and self-employed parents will increase from $516 to $527 gross per week. 

It is important that employers are aware of this increase so they can correctly advise their employees as to their parental leave entitlements.  

In other news, employers may be pleased to note that the Government has recently vetoed a proposal to further extend paid parental leave.  Finance Minister Bill English exercised his power of Financial Veto ahead of the third reading of the Bill which would have extended paid parental leave to 26 weeks.  The Government determined that the 'costs of extending the leave to 26 weeks were simply too high'.  Earlier this year the length of payments was increased from 16 to 18 weeks.

For more information on what employers obligations are in respect to parental leave our Parental Leave ebook is available to subscribers through our Employers ToolBox library or for purchase here :