super on paid parental leave

We're calling for fairer super rules around paid parental leave. The first step is for the government to start paying super on the Commonwealth Paid Parental Leave Scheme.


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closing the super gap for parents

We believe all parents should be confident their super can keep growing as their families grow. Parental leave is the only commonly taken form of leave on which superannuation isn’t paid. And women are the most impacted by this gap in Australia’s super system. With women taking 87%^ of paid primary carer’s leave, this gap directly contributes to women retiring with on average one-third less super than men.


What needs to change?

We believe women who take time out of the workforce to care for children shouldn’t be penalised with financial insecurity in retirement. 

That’s why we’re calling for policy solutions that address super contribution caring gaps. This will help increase women’s super balances and improve their financial security in retirement. The first step is for the government to start paying super on the Commonwealth Paid Parental Leave Scheme.




How does it benefit HESTA members?

For a member taking 18 weeks of paid parental leave on the Government leave scheme, the inclusion of super will add $7,000 per child at retirement.

As well as the direct value to their super, fair and equitable workplace benefits help improve women’s workforce participation — ensuring value in the companies we invest in by fostering a diverse and sustainable culture that supports long-term value creation. This helps maximise long-term financial outcomes for HESTA members from investments in these companies.






what HESTA members are telling us


Our research shows a significant proportion of our members are stressed about the financial penalty they will pay later in life from taking time out of the workforce to raise children, and want government action to address this super inequity.*



9 out of 10

strongly agree that changes are needed in Australia’s super system to boost women’s financial security in retirement



3 out of 5

 are concerned about the long-term impact parental leave would have on their financial security as they age



* Superannuation & Parental leave HESTA member research 2022