‘Second worst in world’: Push to extend paid parental leave

Aussie doctors want paid parental leave for mums to be extended, saying it’s “critical” for development. Here’s how kids are being affected.

Doctors wants paid parental leave extended from four to 12 months because parental care is better for the baby than childcare in the first year of life.

Australia had the second worst paid parental leave scheme in the developed world and the Royal Australasian College of Physicians (RACP), which represents paediatricians — the doctors who care for children — said on Monday extending early childhood care was critical.

“The evidence shows that exclusive parental care fosters improved maternal and child health with improved developmental outcomes for the child,” RACP President and Paediatrician Dr Jacqueline Small said.

The benefits included higher rates of breastfeeding and lower rates of maternal depression and lower infant mortality, she said.

In their first years, children form more than one million new neural connections every second and 90 per cent of brain growth occurs by the age of five.

Research shows children who have a quality childhood education are more likely to be employed, earn higher wages and raise happy families themselves.

Conversely, the Productivity Commission found extended childcare hours and low-quality child care contributed to unfavourable outcomes.

It also determined paternity leave had emotional benefits for fathers, positively affected a children’s emotional and educational achievement and facilitated support for the mother.

The average amount of paid parental leave offered by developed countries is 50 weeks. Picture: Getty Images

Currently, our government’s paid parental leave scheme provides just 18 weeks’ pay at the minimum wage, while the secondary carer gets two weeks.

The Parenthood’s executive director Georgie Dent said only the US had a worse paid parental leave scheme than Australia.

The average amount of paid parental leave offered by developed countries was 50 weeks, she said.

In monetary terms, this equates to 36.5 weeks worth of replacement wages while caring for their baby.

In Australia, parents get the equivalent of 7.6 weeks of replacement wages.

Around 300,000 babies are born each year but only around half of all parents access the paid parental leave scheme (some parents might get benefit from their employer).

Slightly more than one in four (27 per cent) fathers access the two weeks partner pay under the scheme even though research shows children, mothers and fathers all benefit when dad is more involved with the baby.

The Business Council of Australia and Chief Executive Women are also pushing the government to provide a better paid parental leave scheme.

These groups are all working with the Thrive by Five campaign to help support children aged 0-5 years in reaching their full potential and they are also backing higher childcare subsidies.

According to the 2021 Australian Early Development Census National Report, 22 per cent of Australian children were assessed as developmentally vulnerable.

Australia has the second worst paid parental leave scheme in the developed world. Picture: iStock

“Investing in the early years offers the possibility of shifting the pathway of a person’s health and social outcomes over the course of their life and disrupting cycles of disadvantage,” Dr Small said.

“A partnership with the College (RACP) will ensure that health and wellbeing become core aspects of Thrive by Five’s advocacy, and will provide an expert voice on issues pertaining to child health in the context of education.” Thrive by Five Director Jay Weatherill said.

The Grattan Institute found expanding our current paid parental leave scheme to 24 weeks would cost the government $600 million a year.

However, it found it would eventually boost GDP by $900 million a year because it would lead to increased workforce participation by mothers lifting their lifetime earnings by $30,000.

Before the May election, Prime Minister Anthony Albanese supported a push to expand paid parental leave by paying 26 weeks of leave at normal salary including superannuation. He did not make this an election commitment.

Originally published as ‘Second worst in world’: Push to extend paid parental leave