Unpaid parental leave entitlements and paid parental leave pay

My baby just cares for me

July 28, 2026

Employers should be aware of the amendments made to unpaid parental leave entitlements and the financial support provided by the Commonwealth Government, both of which provide parents with greater flexibility in taking leave.

The Fair Work Act 2009 (Cth) (FW Act) provides an entitlement to unpaid parental leave as one of the National Employment Standards (NES).

Under the NES:

Each employee can take up to 12 months of unpaid parental leave (rather than being a shared entitlement). Each employee can also request an extension of unpaid parental leave of up to 12 months.
An employee can take their unpaid parental leave entitlement in one single continuous period, on a flexible basis or as a combination.
Up to 130 days of the parental leave entitlement can be taken flexibly. In turn, the flexible unpaid parental leave can be taken in one single continuous period of one day or more, or in separate periods of at least one day or more.
There is no limit on the number of days that unpaid parental leave can be taken concurrently by employees. An employee can take all or part of their unpaid parental leave at the same time as their partner who is also taking unpaid parental leave. Previously, this concurrent leave was limited to 8 weeks.

With the greater flexibility provided by the unpaid parental leave entitlement under the NES, the Commonwealth Government Parental Leave Pay scheme (Government Scheme) was also adjusted.

Under the Government Scheme, the birth mother or first adoptive parent will be entitled to 130 days of Parental Leave Pay.

This Parental Leave Pay can be taken:

in one continuous period or in multiple smaller periods;
flexibly in single days or more;
at the same time the employee is accessing paid or unpaid leave from their employer; and
when the employee has returned to work (but only for days when they are not working).

The previous “Dad and Partner Pay” has been abolished and is incorporated into the Government Scheme. Now, Parental Leave Pay can be shared with the partner or other parent. While there is no limit on the number of days of Parental Leave Pay which can be shared, 20 days are reserved for the birth mother’s partner or first adoptive parent’s partner. In addition, only 20 days can be taken concurrently by both parents (subject to limited exemptions).

With the change in approach to the entitlement to Parental Leave Pay, some employers are also choosing to review their parental leave policies where company paid parental leave entitlements are offered to ensure that they reflect or align with flexible way in which unpaid parental leave may be taken under the NES.

In addition, to ensure that the company paid parental leave benefits the employee who has given birth and will have principal day-to-day responsibility for the care of the child, some employers are adjusting the criteria for entitlement to company paid parental leave to ensure alignment with the Government Scheme. That is, an employee will only be eligible for company paid parental leave if they are eligible for Parental Leave Pay.

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Information provided in this blog is not legal advice and should not be relied upon as such. Workplace Law does not accept liability for any loss or damage arising from reliance on the content of this blog, or from links on this website to any external website. Where applicable, liability is limited by a scheme approved under Professional Standards Legislation. ‍

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