Latest Workplace Reforms: What Employers Need to Know

From stronger parental leave protections to faster super payments, 2026 brings significant updates that every Australian employer should prepare for. These changes aim to support working families, improve financial security, and modernise payroll practices. Here’s what’s new, why it matters, and what you need to do to stay compliant. 

Baby Priya’s Law: New Protections for Employer-Funded Parental Leave 

What’s new:
From 7 November 2025, the Fair Work Amendment (Baby Priya’s) Act 2025 introduced additional protections for employees taking employer-funded paid parental leave. Employers can no longer refuse or cancel this leave if a child is stillborn or dies, provided the employee would have been entitled to the leave under their employment terms if the child had lived. 

What it was before: 

Previously, there were no specific protections for employer-funded parental leave in cases of stillbirth or infant death. Employers could deny or cancel leave, leaving affected employees vulnerable during a critical time. 

Why it matters:
This change ensures compassionate support for employees during the most difficult circumstances and aligns workplace practices with fairness and dignity. Breaches can attract civil penalties. 

What employers should do: 

• Review and update parental leave policies to reflect these protections. 

• Train HR and payroll teams on compliance requirements. 

• Communicate the changes to employees planning parental leave. 

Payday Superannuation: Super Paid with Wages 

What’s new:
From 1 July 2026, employers must pay superannuation guarantee (SG) at the same time as salary and wages, rather than quarterly. Contributions must reach employees’ super funds within 7 business days of payday. 

What it was before: 

Currently, employers pay SG quarterly. This delay often led to unpaid or late super and reduced visibility for employees.  

Why it matters:
This reform aims to reduce unpaid super, improve retirement savings, and give employees greater visibility over their entitlements. 

What employers should do: 

• Audit payroll systems and processes for readiness. 

• Speak with payroll providers or tax professionals about compliance. 

• Start transitioning early to avoid last-minute issues. 

Paid Parental Leave Extended to 26 Weeks 

What’s changing:
For children born or adopted from 1 July 2026, families can access 130 days (26 weeks) of government-funded Parental Leave Pay, up from 24 weeks. This leave is paid at the National Minimum Wage and can be shared between parents. 

What it is currently:
For children born or adopted between 1 July 2025 and 30 June 2026, families are currently entitled to 24 weeks of Parental Leave Pay. 

Why it matters:
The extension supports shared caregiving and gender equity, giving families more time at home during the critical early months.

What employers should do: 

• Update internal policies and employee resources. 

• Direct employees to Services Australia for eligibility and application details. 

• Ensure payroll systems reflect the latest Fair Work Information Statement (FWIS). 

Victoria Restricts NDAs in Workplace Sexual Harassment Cases 

What’s changing:
In December 2025, Victoria passed the Restricting Non-Disclosure Agreements (Sexual Harassment at Work) Act 2025, introducing sweeping limits on the use of NDAs in workplace sexual harassment matters. From 20 May 2026, NDAs will be prohibited unless requested by the complainant. Employers cannot pressure employees into signing NDAs, and any NDA must meet strict conditions, including a 21-day review period, provision of an information statement, and use of plain language. NDAs cannot prevent disclosures to key parties such as lawyers, police, regulators, or family members. Complainants will also have the right to terminate an NDA after 12 months. 

What it is currently:
NDAs were commonly used in out-of-court settlements of sexual harassment complaints, often at the employer’s request. Critics argued this practice silenced victims, protected perpetrators, and allowed systemic issues to persist. 

Why it matters:
This reform aims to dismantle the “culture of secrecy” around workplace sexual harassment, ensuring victims can speak out and seek support without fear of breaching confidentiality. It aligns with recommendations from the Victorian Ministerial Taskforce and the Australian Human Rights Commission, and positions Victoria as the first Australian jurisdiction to legislate NDA restrictions. Breaches may render NDAs unenforceable and expose employers to legal risk. 

What employers should do: 

• Review settlement practices and remove boilerplate NDA clauses. 

• Train HR and legal teams on new compliance requirements. 

• Prepare updated templates and processes before May 2026. 

• Communicate changes internally to foster transparency and trust. 

Final Thoughts

These changes mark a significant step toward a more family-friendly and financially secure workplace. Compliance is essential for employers. Equally important is embracing these reforms. Together they reflect a broader commitment to fairness and flexibility.

To stay across other updates, including tax and payroll changes, visit Fair Work Ombudsman, ATO, and Services Australia for official guidance.