Federal Politics

'Sympathetic' Malcolm Turnbull prepared to negotiate over paid parental leave change

Malcolm Turnbull has signalled he is prepared to negotiate with Senate crossbenchers to secure a crackdown on paid-parental leave, with the government's controversial start date expected to be dropped.

A day after independent Nick Xenophon said the proposed January 1, 2017 start date would be "manifestly unfair", Mr Turnbull said the Coalition was sympathetic to women who were already pregnant and faced a retrospective change to their leave entitlements.

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Paid parental leave backlash

The Government wants to rein in spending on paid parental leave to save money in the budget but there's a lot of opposition to the proposal. Courtesy ABC News, Channel 7.

Currently new mothers have access to 18 weeks' paid leave at the minimum wage, plus any additional entitlements paid for by their employer. The government wants to end the practice, or so-called "double-dipping".

The three Xenophon party senators will be crucial to the plan passing Parliament, as Labor and the Greens have indicated they will vote against it.

Legislation introduced last week to tighten access to the taxpayer-funded scheme for parents who are also accessing paid leave includes alternative start dates of April 1, July 1 and October 1, allowing time for Parliament to pass the bills.

Labor says the changes would affect up to 80,000 new mothers a year. As many as 50,000 women who are already pregnant could be left up to $12,000 worse off.

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In a press conference with Deputy Prime Minister Barnaby Joyce in Queensland, Mr Turnbull said he was sympathetic as a father and husband.

"In so far as men can understand these matters, we are absolutely understanding and sympathetic," he said.

Critical funding for legal assistance: Prime Minister Malcolm Turnbull.
Critical funding for legal assistance: Prime Minister Malcolm Turnbull. Photo: Andrew Meares

"We are working with our colleagues, and we'll obviously engage with the Senate to negotiate the passage of this legislation."

Mr Turnbull said Senator Xenophon had an important role in the upper house because of his control over a bloc of three votes.

Nick Xenophon says the proposed January 1 start date would be "manifestly unfair".
Nick Xenophon says the proposed January 1 start date would be "manifestly unfair". 

"Remember, a key part of our agenda is fairness," he said. "It is one of the great achievements of Australia – we are a prosperous first world economy with a generous social welfare safety net.

"Australians have a very keen understanding, all of us, of a fair go, so fairness is a critical part of our platform, now and always will be." 

Opposition Leader Bill Shorten said there were better ways for the Coalition to secure budget savings.

"We shouldn't ever see a set of circumstances where you have to make tough choices between having a family or earning a proper wage," he said.

"If he wants to save money to the budget, don't give a tax cut to multinationals, don't give a tax cut to millionaires."

One Nation leader Pauline Hanson said she was open to the plan this week, while Victorian senator Derryn Hinch said on Wednesday he believed the changes should begin on July 1, 2017.

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