'I'd urge other employers to consider taking this same important step,' says minister
Starting July, the Western Australian government will extend the payment of superannuation on unpaid parental leave to up to 24 weeks for all public sector employees.
The government made the announcement on Friday, coinciding with International Women's Day.
It attributed the move to the fact that women are more likely to take unpaid parental leave, partly due to childcare, which can reduce their superannuation savings.
This leaves them with significantly lower superannuation balances when their retirement comes.
"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," said Industrial Relations Minister Simone McGurk in a statement.
"This is a win for working women and will standardise superannuation on unpaid parental leave in the WA public sector."
The government is investing a total of $46.1 million over the next four years for the initiative, which is expected to cover all WA public sector employees, such as teachers, nurses, doctors, health support workers, education assistants, TAFE lecturers, among others.
"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," Premier Roger Cook said in a statement.
The WA government's announcement come on the heels of the Federal government's declaration that it will also start paying superannuation on top of its Paid Parental Leave scheme starting July 2025.
