What Is Parental Leave?
You are required to provide unpaid time off work for an employee who, at the expected date of birth or adoption, will have worked for you for
Where there is a desire to share the leave between partners, both of them must meet the two eligibility tests above.
Four types of unpaid leave are available to employees. These are
The payment for parental leave replaces wages up to $516.85 gross per week.1. For employees who clearly would have received a wage of more than
$516.85 per week or $26,876 per year had they been at work for a full year at the date of delivery or adoption no calculation is required. Record their current gross weekly wage. The employee should receive the maximum payment of $516.85 per week.2. For employees whose income is less than
$516.85 gross per week, and would have had a consistent weekly wage had they been at work for a full year at the date of delivery or adoption no calculation is required. Simply record the current gross weekly wage. The employee should receive their current weekly wage while on leave.3. For employees who are employed on a regular roster or cycle which
would have continued had they been at work for a full year at the date of delivery or adoption you need to calculate the average. Add together the gross wages for each week of the cycle and divide by the number of weeks; the resulting figure should be recorded.4. Where it is unclear that an employee's income would have
exceeded $516.85 per week or $26,876 per year (e. g. pay varies from week to week without a regular pattern: bonuses, commission or overtime have increased the income) a calculation is required to establish the average weekly earnings.
But the number of weeks you divide by also needs to be reduced where any of the following circumstances apply to the employee:
(For example, if the employee is commencing leave three weeks before delivery or adoption and has spent four weeks on unpaid leave the gross salary should be divided by 45, i. e. 52-3- 4.)
If when completing the calculation you experience difficulties, or where there are differences between yourself and an employee about the calculation, a Labour Inspector can determine the amount on your behalf.
If you disagree with the Inspector's calculation you may refer the difference to the Employment Relations Authority.