The Fair Work Amendment (Baby Priya’s) Bill 2025 passed Federal Parliament yesterday, ensuring employer-funded paid parental leave protections are now enshrined in legislation for grieving parents experiencing the stillbirth or death of a child.

The amendment introduces a new principle into the Fair Work Act that unless employers and employees have expressly agreed otherwise, employer-funded paid parental leave must not be cancelled because a child is stillborn or dies.

The Bill is named after Baby Priya who was born prematurely at 24 weeks and 6 days. She passed away tragically six weeks after birth, due to a condition unrelated to her prematurity.   

After informing her employer that her child had passed away, Priya’s mum was faced with grieving the loss of her child at the same time as having her parental leave cancelled and negotiating with her employer about an unplanned and unexpected return to work.

“These are incredibly difficult circumstances for workers and, indeed, managers to navigate. Parents should have the time and space to grieve after the loss of a child. Their pain should not be compounded by uncertainty about whether or not they have to go back to work while they’re recovering from immense grief and trauma,” said Minister for Employment and Workplace Relations Amanda Rishworth.

The new legislation brings it in line with government-funded paid parental leave and unpaid parental leave. The amendment upholds the ability of employers and employees to negotiate and agree terms and conditions which deal with the stillbirth or death of a child.