Recent Developments for Women
Jennifer O'Donnell-Pirisi, VTHC Women's Officer:
email:
mailto:jo'donnell-pirisi@vthc.org.au
or ph: 03 9659 3511 or 0418 228 247.
Some important dates for 2010
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March 8th International Women's Day
The VTHC celebrated IWD 2009 on Friday 6 March 2009 for news story click here -
September 4 Equal Pay Day
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October 25th Pink Ribbon Day (Breast Cancer Awareness)
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November 25th International Day for the Elimination of Violence Against Women
Click here for flyer
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December 10th Human Rights Day
Paid Parental Leave Update
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The Paid Parental Leave Act 2010
The passage of the Paid Parental Leave Bill on Thursday 17 June 2010 is an historic achievement for Australian working families who will now have better health and financial security.
The passing of the Bill is the culmination of over 30 years of campaigning by working women, their families, unions and the broader community. The presentation last week to parliament of a petition from more than 25,000 people urging the Senate to pass the Bill is testament to the commitment of union members to achieving Australia's first paid parental scheme.
As of 1 January 2011, two-thirds of Australian (mostly low-paid) working women will receive paid parental leave for the first time which will benefit families and the economy by supporting women who wish, or need, to remain in the labourforce.
Ultimately, the Act pretty much reflected the original Bill, but adopted 4 key amendments, all based on recommendations proposed by the ACTU and unions during the parliamentary inquiry process. The amendments:
- List the key principles of the paid parental leave scheme (child and maternal health, workforce participation of women, gender equity and work and family balance) as Objects of the Act;
- Protect employees' existing workplace paid parental leave entitlements;
- Ensure employers do not use government paid parental leave instalments for any other purpose; and
- Legislate for a comprehensive review of the general operation of this Act to be begun by 31January 2013.
It is envisaged that the legislation will receive ascent sometime in July 2010.
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A snapshot of the Act:
Legislation
- The Act is stand alone legislation, administered by the Family Assistance Office (FAO) with the Fair Work Ombudsman (FWO) performing a dispute resolution role.
- The Paid Parental Leave Act 2010 must be read in conjunction with the National Employment Standards parental leave provisions and any applicable industrial instrument.
- The Act provides parents of babies born on, or after 1 January 2011, a government- funded paid parental leave scheme of 18 weeks payment at the Federal Minimum Wage ($569.90 a week) which is taxable income.
- The PPL payment is a flat rate of 18 weeks payment at the Federal Minimum Wage, regardless of whether an employee would ordinarily earn more or less. Part-time employees will receive the flat rate.
Eligibility
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There are two eligibility thresholds. One is eligibility for the government-funded 18 week payment. The other is eligibility to receive the government-funded 18 week payment from the employer as part of the employee's normal pay cycle.
(1) Employees[1] will be eligible for Paid Parental Leave (PPL) if they have:
- Been engaged in paid work continuously for at least 10 out of the 13 months prior to the birth or adoption of the child;[2] and
- worked at least 330 hours in the 10 month period.
(2) Employees will be eligible to have the PPL payment administered on by their employer if:
- they have, or will have, been employed by their employer for at least 12 months before the expected date or date of birth of the child, whichever is the latest.
- Employees who are eligible for PPL but not eligible for payment by their employer will be paid their PPL entitlement directly by the Family Assistance Office.
- Parents may interchange primary carer status and share the PPL entitlement, so long as they meet the eligibility criteria.
- There is an exceptional circumstances provision which enables the PPL entitlement to be passed on to other carers (such as grandparents) in exceptional or unforeseen circumstances.
- Parents eligible for the government PPL are able to choose either PPL or the Baby Bonus (which unlike PPL is not taxed and does not preclude eligibility for family tax benefits) depending on their financial circumstances ( a calculator to assist families to choose is located on the http://www.familyassist.gov.au/ website).
Protection of existing paid parental leave entitlements
- The introduction of the Act will not trigger any changes to existing workplace paid parental leave entitlements. Workplace agreements currently on foot will remain unchanged until they have expired and only then may the paid parental leave terms of the agreement be renegotiated.
- Employers may not use the government PPL instalment as a substitute for any existing workplace paid parental leave obligations (whether that obligation arises under Commonwealth, State or Territory law or any industrial instrument however described).
- Unions may negotiate workplace PPL provisions which complement the new government 18 week PPL payments. Model clauses have been developed in the ACTU Work and Family bargaining Kit which will be distributed to unions shortly.
Employees responsible for making applications
- The responsibility for lodging an application for PPL with the Family Assistance Office is entirely on the employee. This creates an important role for unions to ensure members are aware of their rights and responsibilities with regards to applying for PPL.
- In order to facilitate prompt payment of PPL, employees are encouraged to apply for an initial eligibility determination from the Family Assistance Office, confirming the employee's eligibility for PPL. The application can be made any time prior to the expected date of birth.
- Similarly, employees may seek an initial payability determination from the Family Assistance Office, confirming their employer's obligation to administer the government PPL payments. The application can be made any time prior to the expected date of birth.
- In the case of an employee who has more than one employer, the employee may nominate the employer they wish to administer the government PPL payment. (This choice may be based on the relative benefits of the employee's workplace PPL entitlement with that particular employer).
- Employees who meet the work test but have resigned prior to the expected date of birth will still be eligible for PPL but the employer will not be obliged to pass the payments on, rather the employee will receive payments directly from the Family Assistance Office.
- Employees eligible for less than 8 weeks PPL payment (i.e. where leave is shared between carers) will be paid directly by the Family Assistance Office.
- If an employee has made an effective claim for PPL,[3] and has verified the child's birth,[4] payments may commence the first pay cycle following the date of birth, or the nominated start date of the PPL, whichever is the later.
Employer's obligations
- Employers are not required to do anything until they receive notification from the Family Assistance Office regarding the employee's application. Upon being notified, employers will be required to provide information to the Family Assistance Office as requested.
- The government will pay PPL installments in advance to employers, which the employer will be required to administer as part of the employees' normal pay cycle. Employers may choose to receive the government instalments fortnightly or a minimum of every 6 weeks. Employers will be required to withhold the tax component of the PPL payment.
- Employers may not use the government advance PPL instalments for any purpose other than to administer the payment to eligible employees.
- The employer will be obliged to notify the employee of any PPL payments made and keep appropriate records of payment of the government PPL payments to employees.
- Employers must confirm receipt of correct PPL payments and notify the Family Assistance Office of any changes in circumstances (such as the employee returning to work or resigning), changes in the employers banking details and /or if they cease to trade and return any PPL payments they shouldn't have received.
- The government will allow for a six month transition / implementation period from 1/1/2011 whereby employers may choose whether to administer the government PPL payments. Where the employer chooses not to pass the payment on, the Family Assistance Office will make the payments directly to the employee. After 1/7/2011 all employers must pass the government PPL payments on.
- Technically, employees are on unpaid leave whilst in receipt of the government PPL payment. As such, they accrue no rights or entitlements during this leave. Employers are not obliged to pay the superannuation guarantee during the period of government-funded PPL.
Dispute resolution
- There will be a comprehensive dispute settlement / compliance component. The roles are divided between the Family Assistance Office and the FWO. The Family Assistance Office will assist to resolve disputes relating to employee's eligibility and general administration of the scheme and the FWO will be responsible for disputes relating to employer/employee obligations and payment.
- The Family Assistance Office may refer a dispute to the FWO, or a party may raise a dispute relating to employer/employee obligations and payment directly with the FWO.
- The FWO has the power to investigate matters, administer compliance notices and infringement notices and commence proceedings. Employers have 14 days to produce reasonable evidence of rectifying the breach outlined in the compliance notice. An infringement notice specifies the pecuniary penalty for non-compliance and provides employers with 28 days to pay the penalty. The penalties are substantial and in some instances criminal penalties apply.
- In the event of a dispute regarding an employer's obligation to pass PPL payments on to an employee, the Family Assistance Office will assume responsibility for PPL payments to the employee pending resolution of the dispute.
- In the case of a breach of a parental leave term of a workplace agreement, the normal dispute resolution process outlined in the agreement will apply.
- Where an employer disagrees with a determination by the Family Assistance Office of their obligations to pay PPL, they may seek a review by the Family Assistance Office and / or an appeal of the Family Assistance Office decision to the Social Security Administrative Tribunal.
- Unions may assist members at any stage of disputes being dealt with either by the Family Assistance Office or the FWO.
- Where an employee is transferred to a structure within the same entity, the employer is obliged to continue to pass PPL payments on. Where transfer is to a new employer the new employer will be encouraged, but not obliged, to pass on the PPL payments.
- The Keeping in touch provisions will allow, upon mutual agreement, employees to attend the workplace for the purposes of professional development for a maximum of 10 days per period of leave. The period of attendance at work will be paid on top of the PPL payment for that day (in other words a double payment) but the day will be counted as PPL and deducted from the total PPL leave entitlement. (Note that the ACTU and unions have voiced concern that there needs to be more protection of employees on parental leave from being coerced or pressured into attending work whilst on leave, and therefore the implementation of this provision needs to be monitored closely by unions).
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The Paid parental leave Act 2010 does not provide for:
- Superannuation guarantee contributions on the parental leave payment;
- Paid secondary carers (or paternity) leave;
- Full wage replacement payment;
- The right to return to work part time from parental leave;
- Amendment to the NES to align eligibility criteria for unpaid parental leave with eligibility criteria for paid parental leave [5];
- Amendment to the definition of ‘continuous service' to ensure seasonal workers who have demonstrated long-term regular patterns of employment are eligible;
- Capacity for the primary carer to take leave prior to six weeks before the expected date of birth if they so choose;
- Automatic right for a mother to return to work earlier than expected following the still birth or death of a newborn; and
- Protections against employer misuse of the 10 days ‘keeping in touch' provision.
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Ongoing advocacy for improvements
The ACTU and unions have raised these concerns with the government and we will continue to advocate for improvements through:
- The Paid Parental Leave Implementation Committee;
- The National Workplace Relations Consultative Committee;
- The legislated Review of the operation of the Paid Parental Leave Act in 2013; and
- In workplace bargaining.
The Paid Parental Leave Implementation Committee is made up of ACTU and union representatives, employer representatives, DEEWR and FaHCSIA officials. It will meet shortly to discuss a number of implementation issues including the development of resource materials for unions and employees. Please advise Belinda Tkalcevic (belinda@actu.asn.au) if your union has any issues it wishes to raise via this forum.
The inconsistencies between the NES unpaid parental leave provisions and the new Paid Parental Leave Act (outlined above) have been raised with the government and will be discussed at the next NWRCC meeting. Please advise Belinda Tkalcevic (belinda@actu.asn.au) if your union has any issues it wishes to raise via the NWRCC.
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Resources for unions
A Work and Family Bargaining kit which includes model paid parental leave clauses based on the new legislation will be distributed to affiliates shortly.
An ACTU poster outlining the key issues for union members (such as bargaining claims) produced earlier in the year will be updated to reflect the new legislation. Copies will be available through the ACTU.
The government will be producing information materials which will be distributed to unions as soon as possible. Until then, the family assistance office website (http://www.familyassist.gov.au/) provides the most current government information.
If you have any general queries regarding the Paid parental leave legislation, contact the ACTU call centre on 1300 362 223.
Click here for Paid Parental Leave Brochure
Click here for Parental Leave Poster
Representation in unions and OHS issues
There is still a long way to go before the Working Womens' Charter is fully implemented. Whilst women's workforce participation is increasing they are not joining unions at the same rate as men.
Patterns of women's trade union membership
1912 - 8.4%
1919 - 26.3%
1939 - 32.8%
1945 - 51.9%
1946 - 37.2%
1970 - 36.0%
1979 - 46.0%
1988 - 39.0%
Women are 42% of the workforce, only 39% of women are unionised. Why ?
- New jobs going to women in unionised areas.
- Women carry out part-time work and casual work and outwork. Unions have not yet worked out ways of recruiting these women.
- Women might be put off by the masculine image of unions.
- Women are also under-represented in trade union hierarchies. It is not uncommon for female dominated unions to have most of the leadership positions occupied by men. It was only in 1983 that the first women was represented on the ACTU Executive. Her name was Jenny George from the NSWTF. It is estimated only 12% of union officials are women and most of these would be in appointed rather than elected positions. (No reliable data exists).
1987 Congress - 3 AA positions on the Executive to increase women's participation
Still only three women out of a total of 34.
1989 Now 7 women on the Executive
The ACTU has an action plan and comprehensive policy. It also has union policy aimed at increasing women's participation.
ACTU Strategy on Recruitment of women
- The development of a more comprehensive Affirmative Action Plan, in time for the next Congress.
- Review of the structures of the ACTU and State branches to ensure that women are fairly represented.
- The development of industrial campaigns aimed at women.
- Expansion of trade union training.
- Encouragement of women for women to stand for election.
- Involvement of women in recruitment campaigns.
- Ensuring women can more easily participate, e.g. provision of childcare.
- A study of successful affirmative action plans be undertaken and resources allocated to recruit women.
VTHC affirmative action and recruitment campaign
At a State level the VTHC has an affirmative action plan for increasing women's participation. Key features of the plan are:
- Election of three Affirmative Action positions to VTHC Executive
- Encouraging Industry groups with significant numbers of women members to nominate women as their representatives on Executive
- Setting a target so that half of the VTHC Executive positions are held by women by the end of 1999
- Establishing a second Vice-President women's position
- Rotating the Presidency so that men and women are alternately represented by 1991.
Women's Health and Safety
The problem with 'gender neutral' OH&S legislation
'Gender Neutral' Health and Safety legislation is based on the assumption that a safe and healthy workplace will suit all workers. In practice, however, the legislation is based on norms set for men. The consequences for women are numerous:
- It ignores the concentration of women in certain supposedly 'low risk' occupations, and the double jeopardy which faces women whose waged work exposes them to similar risks to those they experience in their domestic labour.
- Female workers may have to work with equipment and workstations that are designed for the average male's body size and shape - counters that are too high, tools and boots that are too large, or sacks that are too heavy to lift.
- Women's occupations have always been viewed as safe. As such, safety professionals have always focussed on jobs where the hazards are more dramatic, such as the male-dominated manufacturing or construction industries, leaving women out of valuable research. In occupations such as nursing, the rate of manual handling injuries remains very high but serious attempts are being made to address this issue. The Australian Nursing Federation (Vic Branch) won the Victorian WorkCover Authority Outstanding Leadership in Health and Safety Award in 2000 for its three-year "No Lifting" campaign designed to prevent and reduce nurses' injuries when lifting or moving patients. See the Australian Nursing Federation website for background.
[1] Includes casual and contract employees
[2] ‘Continuous service' includes ‘permissible breaks' in service of up to 8 weeks and includes service with multiple employers.
[3] For details of how to lodge an application for Paid Parental Leave, refer to www.familyassist.gov.au
[4] A specific form to verify the birth will be available at numerous venues, including hospitals.
[5] The Paid Parental leave Act 2010 work test is less onerous than the NES unpaid parental leave test which stipulates that employees must have worked continuously for their current employer to be eligible for unpaid parental leave. Consequently, employees who meet the PPL work test but not the NES test will be eligible for paid parental leave but not unpaid parental leave. Such employees will not be guaranteed unpaid leave for the period of PPL and therefore not guaranteed return to work from parental leave.
