Protecting the entitlement to voluntary paid parental leave in the event of stillbirth and infant loss
The Government has introduced the Fair Work Amendment (Baby Priya’s) Bill 2025, proposing an important change to the Fair Work Act 2009 (Cth). The amendments aim to ensure that employees remain entitled to employer-funded paid parental leave even if their child is stillborn or dies shortly after birth.
The Current Position
Under the National Employment Standards (NES), the entitlement to parental leave is unpaid. Paid parental leave benefits are typically offered voluntarily by employers through employment contracts, enterprise agreements, or workplace policies.
At present, there is no statutory protection preventing employers from cancelling or refusing employer-funded paid parental leave in circumstances where the child is stillborn or dies after birth. This has created uncertainty and distress for affected families.
The Proposed Amendment
Baby Priya’s Bill aims to close this gap by making it unlawful for an employer to withdraw or refuse paid parental leave because of a stillbirth or infant death, unless the employer offers a suitable alternative leave arrangement.
The proposed law follows public advocacy by the parents of Baby Priya, whose mother was denied access to her employer’s paid parental leave following the tragic death of her daughter at six weeks old.
Intent behind the Reform
According to Minister for Employment and Workplace Relations, Amanda Rishworth, the changes are designed to remove the burden on grieving parents to negotiate leave entitlements during an already devastating time. For employers, the Bill provides greater clarity and consistency in managing parental leave entitlements in these exceptional circumstances.
You can track the progress of the Bill here.
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