Labour has promised to introduce a new Paid Partner's Leave scheme if voters choose to keep the party in power come October, Chris Hipkins announced today.
If implemented, the scheme would be phased in from July next year in addition to the two weeks of unpaid leave that partners are entitled to. The leave scheme will be paid for by the Government and cost $230 million over four years, according to the party.
Today's election announcement comes two weeks after Labour MPs voted down National Party legislation that could've allowed parents more options to share their leave entitlements — including the flexibility to take paid time off together.
Hipkins said his party's new election pledge now would "support all parents to be part of their babies’ youngest days, providing extra financial help when families need it most.
"Taking time off is expensive, but most partners take leave to support their partners regardless," the party leader said.
"This is absolutely the right thing to do – we know that when it comes to a baby’s first few weeks, you can’t overdo support, whether that’s an extra pair of hands, sleep or cooked meals."
Currently, paid parental leave is for six months and can be transferred from one partner to another. That means partners can share the parental leave, but only separately, not at the same time.
Hipkins continued: "This policy extends the [paid leave] entitlement so all partners can have the same experience. It’s healthy for everyone in the family and is also good business - employers know that too.
"This policy helps support the entire family unit in those crucial early days and will support a return to the workforce in the longer term."
Under Labour's proposed scheme, a partner would be eligible for the leave, regardless of whether the primary carer is eligible for paid parental leave.
The scheme would start on July 1, 2024, at two weeks, and progressively expand to three weeks by July 2025, and four weeks by July 2026.
"We believe Paid Parental Leave should be expanded on – not a pie to be sliced up in different ways," the party's policy document reads.
"This leave can be taken either concurrently or consecutively with the first parent, and is in addition to the current statutory entitlement to unpaid leave and to split the existing 26 weeks."
Leave scheme 'rushed out' after 'GST gaffe' - Luxon
Labour's announcement comes only two weeks after the Government shunned a member's bill by National's deputy leader Nicola Willis that would've given parents more flexibility about how to use their paid parental leave.
Willis' bill had proposed to keep leave entitlements the same, but allow parents to overlap when they take paid leave.
Party leader Christopher Luxon said today he would have more to say in National's families and parents policy announcement which was coming soon.
Current laws don't let caregivers take paid leave at the same time. (Source: 1News)
He said Labour's scheme was "rushed out" after criticism of its GST-free food policy.
"We would love to do it," he said. "The key issue is the affordability of it and when you look at what's happening in the country at the moment... it's really important that we are prudent and responsible with taxpayers' money and that we can actually afford to do it.
"We'll look into that very closely. We'll have more to say about that with our families package. The Government could've adopted Nicola's bill last week.
"We've got a families policy that's been rushed out, two days after a GST gaffe and a policy that hasn't landed as well."
Meanwhile, ACT leader David Seymour said the scheme would simply mean more taxes.
"ACT supported National's policy at first reading because it brought choice and flexibility to the paid parental leave system at no further cost to taxpayers. After all, why should politicians tell parents when to stay home with their kids?" he said in a media release.
"Labour's alternative completely misses the point. It doesn't offer any further flexibility to parents. Labour's will cost the taxpayer hundreds of millions of dollars per year, even Labour accept they cannot afford it for three years.
"Predictably enough, Labour wants to give you more tax and less choice."
Earlier this month, Willis said her bill would have "modernised" the paid parental leave and that the Government's choice to vote down her bill at the first reading had been "out of touch" and "offensive to all women and all parents".
National has pledged to push the bill through in its first 100 days if it wins the election.
Hipkins said that Labour was concerned the National bill would undermine the intention of the Government's extension of paid parental leave to six months. He said reducing the overall six-month period would not "necessarily" be "in the best interests of the child".
"There's good science for why we chose six months. Because actually if you look at the science around childhood attachment for example, having a parent at home for six months is actually incredibly important to a baby's development.
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