- Cook Labor Government investing $46.1 million to extend payment of superannuation on unpaid parental leave up to 24 weeks for all WA public sector employees
- Initiative seeks to help close the gap in superannuation for women across the public sector and improve economic security in retirement
- Women currently represent the vast majority of public sector workers taking unpaid parental leave
The Cook Government will extend the payment of superannuation on unpaid parental leave to up to 24 weeks from July 1, 2024 for all WA public sector employees.
The initiative is expected to cost up to $46 million over the next four years and aims to help close the gender superannuation gap and improve women's economic security in retirement.
It will standardise access to superannuation on unpaid parental leave across the WA public sector, increasing the entitlement for major employee groups including teachers, nurses, doctors, health support workers, education assistants, TAFE lecturers and more.
Parental leave is accessible for all employees; however women represent the vast majority of public sector workers taking unpaid parental leave, which can reduce their superannuation savings.
Women at retirement age typically have superannuation account balances significantly lower than men.
As stated by Premier Roger Cook:
"My Government is proud to be among the WA employers leading the way on providing superannuation for all workers taking unpaid parental leave, and would like to see more private sector employers follow suit.
"We know, on average, women retire with significantly lower superannuation balances to support them in retirement - and this is partly because of time spent out of the workforce when they have children.
"Paying super on unpaid parental leave is an important investment to improve women's economic security in their later years and assist WA families in making decisions about balancing care and work."
As stated by Treasurer Rita Saffioti:
"Superannuation is a really important tool we have at our disposal to help our workforce save for retirement, and we want to do all we can to support workers for when they reach that stage of life.
"More often than not, it's women who take unpaid parental leave at some stage of their lives, so this decision from our Government will no doubt help to reduce that impact on their superannuation and future retirement."
As stated by Industrial Relations Minister Simone McGurk:
"This is a win for working women and will standardise superannuation on unpaid parental leave in the WA public sector.
"It's another meaningful move towards remedying the economic disadvantage experienced by women, whose careers and superannuation balances often take a hit when they have children.
"The retirement pay gap for women has been too wide for too long. This is a practical way to narrow the gap, and I'd urge other employers to consider taking this same important step."
As stated by Women's Interests Minister Sue Ellery:
"Women at retirement age traditionally have much lower account balances in their superannuation - we are doing what we can to fix that.
"This investment by the Cook Government is an important step to increase financial security for women who work in the public sector taking unpaid parental leave."
