New Zealand’s Minister for Workplace Relations and Safety, Brooke van Velden, has announced that paid parental leave will increase from July 1, 2024. This increase means that parents will receive more money, providing additional support during their time off with their newborns.
The maximum weekly rate for paid parental leave will rise from $712.17 to $754.87 per week. This is a six per cent increase, reflecting the rise in average weekly earnings.
Van Velden stated that the government is committed to supporting families and parents, especially during these challenging times. Paid parental leave is one way the government is providing this support. Parents who are eligible can receive payments for up to 26 weeks.
Van Velden also acknowledged that accessing paid parental leave can be a painful process for some, as the scheme also applies to those who have experienced miscarriage or stillbirth.
For self-employed parents, the minimum parental leave payment rate will increase from $227 to $231.50 per week. This change reflects the minimum wage increase that took place on April 1 this year.
The Employment New Zealand website provides the most current information about parental leave, including eligibility, payments, and returning to work.
The increase in paid parental leave rates is part of an annual increase legislated under the Parental Leave and Employment Protection Act 1987. Under this act, eligible parents can receive payments equal to their regular pay up to the current maximum rate. This maximum rate is adjusted yearly to account for any increase in average weekly earnings.
The minimum rate for self-employed parents is equivalent to 10 hours worked at the adult minimum wage, which is currently $23.15 per hour.
