PAID PARENTAL LEAVE

Paid Parental Leave (PPL) is a government funded payment for parents, for up to 12 weeks, when they take parental leave from their job to care for their newborn child.

The PPL legislation has been passed and parents expecting a baby on or after 1 July 2002 may be entitled to receive payments.   Adoptive parents may also qualify if they adopt a child aged under five years.

The Department of Labour (DOL) administer the PPL scheme and is responsible for communicating the scheme to the general public.   IRD has been contracted as the payment agency and will process the PPL application forms and make payments to parents.

To be eligible, a parent must first qualify for parental leave from their job under the Parental Leave and Employment Protection Act 1987.    Parents are entitled to leave if they have worked for the same employer for 12 months.   They must also have worked an average of at least 10 hours per week, including at least one hour every week or 40 hours per month, and not taken any parental leave for another child in the previous 12 months. 

Self employed parents are not eligible to apply for PPL payments.

The maximum amount a parent can receive is $325 (gross) a week or 100% of normal pay, whichever is the lower.   PPL payments are treated as normal salary and wages and will be shown on a recipient's summary of earnings and personal tax summary.

A parent (birth mother or adoptive parent taking parental leave) can apply by completing a Paid Parental Leave Application (IR 880) form.     The parent and their employer must complete the application form.   The form is available from DOL's infoline on 0800 800 863 or it can be downloaded from DOL's website at www.ers.dol.govt.nz .    Further information on the scheme can be obtained by contacting DOL's infoline on 0800 800 863.

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