One Nation Leader Proposes Changes to Paid Parental Leave and Childcare

The leader of One Nation told the National Press Club on Wednesday that employers should not pay wages to women while on maternity leave and called for changes to the childcare system. The leader also proposed income splitting for families with at least one dependent child, a measure that would combine both parents' incomes and tax them separately.

The leader stated that women on maternity leave are not working and questioned why businesses should continue paying wages during that period. The leader described the current childcare system as out of control and said funds should go directly to parents instead of providers.

Current rules give employees the right to 12 months of unpaid leave, and a government scheme starting 1 July will provide 26 weeks of paid parental leave at the national minimum wage.

An associate professor in economics at Queensland University of Technology said moving away from paid leave could widen the gender gap and reduce workforce attachment. The economist added that competitive paid parental leave helps maintain job matches and supports productivity.

An independent economist said policies that encourage one parent to stay home could create skills shortages and increase the need for immigration. The economist noted that women on average hold higher education levels than men, so reduced workforce participation could limit economic growth.

The chief executive of an early learning advocacy group said direct payments to parents carry a high fraud risk and could affect quality and safety standards. The group stated that the economy expects two parents to work and requires investment in safe childcare environments.