Under the new rules, parents who choose the 80% parental benefit rate will receive eleven additional days of leave, ensuring that payments for the 80% and 100% rates are now equal.
Previously, the rules meant that parents who chose the longest option, the 80% parental benefit rate with 59 weeks of leave, ended up slightly worse off than those who chose the 100% rate with 49 weeks of leave. This was particularly noticeable when it came to pension accrual.
- Tekna has supported this change because it creates a fairer system and gives parents greater flexibility, says Anette Moldrem, jurist in Tekna.
In practical terms, the new system, introduced on 1 July 2024, means that parents who choose the 80% parental benefit rate now receive 11 additional days of leave — bringing the total to 61 weeks and one day.
