In this article:

·               Paid parental leave scheme

·               Breastfeeding

·               Women in the boardroom

Paid parental leave scheme

Australia has recently introduced its first national government funded paid parental leave scheme.  Under the Paid Parental Leave Act 2010 (Cth), eligible primary caregivers will be entitled to up to 18 weeks of parental leave pay if they have or adopt a child on or after 1 January 2011.  Primary carers who satisfy work, income and residency tests will be eligible to receive parental leave pay at the national minimum wage, which is currently $570 per week.

To be eligible, a primary carer must:

·               be living in Australia and an Australian citizen or resident

·               not earn more than $150,000 per year ( and subject to indexation)

·               have worked at least 10 out of the previous 13 months (Work Period).

The work test requires a primary carer to work 330 hours over the Work Period, which is just over one day per week, with no more than an eight week gap between two consecutive working days.  This work may be performed for more than one employer and a primary carer may be employed on a full time, part time or casual basis, as a contractor or self-employed.

Up to 18 weeks of parental leave pay may be taken before the child’s first birthday or 12 months from the date of placement in the case of adoption.  This must be taken in one continuous period, although parents are able to nominate the period over which they wish to receive it.  If a primary carer elects to return to work before the end of the 18 week paid parental leave period, the unused portion may be transferrable to the other parent or, in exceptional circumstances, transferred to another carer, if they meet the eligibility criteria.

While the paid parental leave scheme is fully government funded, currently it will be administered by employers through their own payroll systems, although there is legislation before the Australian Parliament to amend the scheme so that employers are not required to administer the payment of the paid parental leave.  As the legislation currently stands, from 1 January 2011, employers can opt to administer parental leave payments, however, from 1 July 2011 this will become mandatory in respect of employees who have completed at least 12 months continuous service who are taking at least eight weeks parental leave.  Other eligible carers will receive their parental leave pay through the Family Assistance Office.  Employers’ obligations have been phased in to ensure that new processes do not need to be implemented halfway through the financial year. 

The scheme is designed to complement parents’ entitlement to up to 24 months of unpaid parental leave under the National Employment Standards contained in the Fair Work Act 2009 (Cth).  The government parental leave pay can be received before, after or at the same time as other paid employer provided leave, such as annual leave or maternity leave.  Accrual of additional leave entitlements is dependent on what other types of leave an employee takes.  For example, if an employee is taking long service leave whilst receiving paid parental leave, accrual rules relating to long service leave will apply.

The scheme does not replace existing entitlements and cannot be used to offset existing paid parental leave obligations.  Entitlements to parental leave available through employer funded schemes in an industrial instrument cannot be withdrawn for the life of the agreement.  However, the Scheme is not intended to prevent discretionary non-binding company policies from being varied.

Breastfeeding

The Australian Parliament currently considering the Sex and Age Discrimination Legislation Amendment Bill 2010 (Cth) (Bill) which, if passed by Parliament, will establish breastfeeding as a separate and distinct ground of discrimination.  This amendment is being proposed alongside other reforms in the Bill to eliminate discrimination and promote gender equality, including extending existing protections from discrimination on the ground of family responsibilities to both men and women in all areas of work, ensuring that protections from sex discrimination apply equally to men and women, and providing greater protection from sexual harassment for students and workers.

The amendment to the Sex Discrimination Act 1984 (Cth) establishing breastfeeding as a separate ground of discrimination is designed to ensure that special measures can be taken to accommodate the needs of breastfeeding women, both in the workplace and in other areas of public life.  The addition of breastfeeding to other prohibited grounds such as martial status, pregnancy and potential pregnancy emphasises that breastfeeding is a protected attribute.

Employers across Australia have taken proactive measures to support women breastfeeding in the workplace.  The New South Wales and Queensland public service have already introduced policies entitling employees to lactation breaks and breastfeeding facilities.  Lactating mothers who are employed on a full time or part time basis are entitled to breaks totalling up to 60 minutes each day.  These breaks can be used to breastfeed a child, express milk, or for any other related activities.  Government departments are also required to provide suitable, private breastfeeding facilities with appropriate equipment, such as a refrigerator, sink and microwave.

The move towards providing employees with breastfeeding facilities is also evident in the private sector with employers, such as ANZ Bank, providing such facilities to assist women returning to the workforce after giving birth to a child.

The Bill has been passed by the lower house of the Australian Parliament, and is currently being considered by a committee associated with the upper house of the Australian Parliament, before being considered by the upper house of the Australian Parliament in early 2011.

Women in the boardroom

A recent report, Australian Census of Women in Leadership 2010, conducted by the Equal Opportunity for Women in the Workplace Agency has revealed that women remain vastly unrepresented in senior positions in the Australian Stock Exchange’s (ASX) top 200 listed companies.  Of these 200 companies only 2.5% have women as Chair and 3.0% have female Chief Executive Officers.  While men make up 91.6% of the Board of Directors, women only represent 8.4% of the Board of Directors, despite the fact that women are present in almost equal numbers to men in the workplace as a whole.

In recent years there has been a push by organisations such as Women on Boards to increase the gender balance on Australian boards.

In June 2010, the ASX Corporate Governance Council introduced some important changes to its Corporate Governance Principles & Recommendations in an attempt to increase gender diversity in organisations and on boards.

For financial years commencing on or after 1 January 2011, ASX-listed companies are required to:

·               establish a diversity policy

·               disclose the policy or a summary of that policy

·               disclose diversity objectives and progress in their annual report.

The diversity policy should include requirements for the board to set measurable objectives for achieving gender diversity and review both the objectives and the progress in achieving them annually.

The annual report should disclose:

·               the measurable gender diversity objectives set

·               progress towards achieving them

·               the proportion of women at three levels, board, senior management and the whole of organisation.

The ASX is hopeful that these requirements will create a culture of diversity within Australian companies.

Conclusion

Over the past year, a number of female focused initiatives have been implemented in workplaces across Australia.  The introduction of the government funded paid parental leave and the proposed stronger sex discrimination protections are designed to increase gender balance and the participation of women in the workplace.  These initiatives together with mandatory reporting from ASX-listed companies form part of a long term strategy to increase the representation of women at senior and executive levels in Australian workplaces.