The federal government successfully passed the Paid Parental Leave Amendment 2014 through the Lower House last night.
The minister for small business, Bruce Billson, said if passed by the Senate, the legislation will mean business will no longer have to act as the “pay-clerk” for the Paid Parental Leave scheme, saving millions in red tape every year.
“By removing the ‘pay-clerk’ burden businesses of all sizes would be relieved of the red-tape burden of acting as the ‘pay-clerk’ for the paid parental leave scheme unless the employer and employee both ‘opt in’ to having the employer administer payments,” he said.
"There is no reason why business should have to act as the ‘pay-clerk’ when the Family Assistance Office can do the job. In fact, the Family Assistance Office did the job when the scheme first started,” added Mr Billson.
The Australian Chamber of Commerce and Industry conducted a survey of its members on the Paid Parental Leave scheme in May 2013 in which 84.3 per cent of businesses either agreed or strongly agreed that the government should not require employers to be the paymaster for the Paid Parental Leave scheme.