Maternity Leave in New Zealand: Primary Carer Leave and Payments Guide

Maternity leave in New Zealand centres on the Holidays Act 2003, which grants eligible employees 26 weeks of paid primary carer leave, funded by the New Zealand government through Working for Families tax credits. Unlike many countries where the employer pays wages during parental leave, New Zealand’s system pays the employee directly through Inland Revenue (IRD) — the employer’s role is to facilitate the process and manage workplace leave entitlements. Partners can also access up to 2 weeks of partner’s leave.

This guide covers the New Zealand maternity leave system in 2026: primary carer leave, Paid Parental Leave (PPL) payments, partner leave, eligibility criteria, employer obligations, and how to manage leave in your HR system.

Key takeaways

• 26 weeks of primary carer leave is available to eligible employees under the Holidays Act 2003.
• Paid Parental Leave payments are approximately $768.66 per week (2026 rate), paid by the government through IRD.
• Partner leave provides up to 2 weeks of unpaid leave (or paid if using PPL entitlement).
• Eligibility requires 26 weeks or more of continuous employment with the same employer before the expected date of birth.
• The employee must be the primary carer of the child — the birth mother, or a person who is not the birth mother but has primary care of the child.

Primary carer leave under the Holidays Act 2003

The Holidays Act 2003 provides primary carer leave as a form of paid leave. It is not a government welfare payment in the traditional sense — it is a statutory leave entitlement with pay sourced from the government.

Key details:

• Duration: 26 weeks.
• Payment: Paid by the government through Working for Families tax credits at approximately $768.66 per week (2026 rate, subject to annual adjustment).
• Job protection: The employee’s position (or a suitable alternative) must be available on return.
• Health insurance: Not a statutory requirement, but many employers continue employer-sponsored health insurance during leave.

Eligibility for primary carer leave

To qualify, the employee must:

1. Be the primary carer of a child who is under 6 years old, or who is under 18 and has a disability.
2. Have worked for the same employer for at least 26 consecutive weeks before the expected date of birth (or adoption).
3. Be entitled to Paid Parental Leave or have a partner who is.
4. Not have already taken 26 weeks of primary carer leave for the same child.

The 26-week employment threshold is one of the most commonly missed eligibility criteria. Employees who change jobs close to their due date may not qualify. HR teams should check employment start dates well before the leave begins.

Paid Parental Leave (PPL) payments

New Zealand’s Paid Parental Leave scheme is administered by Inland Revenue. The payment is made directly to the employee — not the employer. Key features:

• Weekly rate: Approximately $768.66 per week in 2026 (indexed annually).
• Duration: 26 weeks, matching the primary carer leave entitlement.
• Tax treatment: The payment is subject to PAYE income tax and must be reported as income.
• No employer contribution: The employer does not fund PPL. The cost is entirely government-funded.

How PPL is paid

The process differs from most leave payment systems:

1. The employee applies for PPL through IRD, either online or by phone.
2. IRD assesses eligibility and determines the weekly payment.
3. Payments are made directly to the employee’s bank account, typically every 2 weeks.
4. The employer records the leave as unpaid leave in the payroll system — no salary is paid by the employer during PPL.

This means there is no cost to the employer during primary carer leave, but the employer must still manage the leave record, hold the position open, and continue any statutory obligations (such as KiwiSaver employer contributions, which must continue during paid parental leave).

Partner leave

The Holidays Act 2003 also provides partner leave — leave for the partner of the birth mother or primary carer:

• Duration: 2 weeks of unpaid leave.
• Payment: The partner may be entitled to PPL if the primary carer transfers some of their PPL entitlement.
• Timing: Must be taken within 21 days of the child’s birth (or placement for adoption).

Partner PPL transfer

The primary carer can transfer up to 26 weeks of their PPL entitlement to their partner, but only after the primary carer has taken at least 2 weeks. This means:

1. The birth mother takes at least 2 weeks of PPL.
2. After 2 weeks, any remaining PPL weeks can be transferred to the partner.
3. The partner then receives PPL payments at the same weekly rate.

This transfer mechanism is an important planning tool for families. Many employers in New Zealand offer policies that supplement PPL or provide additional paid leave beyond the statutory minimum — these “top-up” arrangements should be clearly documented in the employment agreement.

Employer obligations

New Zealand employers must comply with several requirements during maternity leave:

• Record-keeping: Maintain accurate leave records for each employee, including start date, expected return date, and PPL status.
• Position preservation: Hold the employee’s position open (or offer a suitable alternative) for the duration of the leave.
• KiwiSaver contributions: Continue employer KiwiSaver contributions during paid parental leave — this is a frequently missed obligation.
• Health and safety: Keep the employee informed of significant workplace changes, restructuring, or redundancies that may affect their role.
• No adverse action: Dismissing an employee for taking or requesting primary carer leave is prohibited.
• Return to work: The employee is entitled to return to the same role, or a suitable alternative role if the original position no longer exists.

Managing maternity leave in your HR system

For HR teams managing multiple employees on parental leave, several tasks need attention:

• Track the 26-week employment threshold: Flag employees who may not qualify due to insufficient tenure.
• Monitor PPL application deadlines: Employees must apply for PPL at least 21 days before their expected leave date.
• Record KiwiSaver obligations: Ensure KiwiSaver employer contributions continue during paid parental leave.
• Manage return-to-work plans: Begin return-to-work discussions at least 4 weeks before the employee’s expected return date.
• Handle PPL transfers: Track PPL entitlement transfers between partners and update IRD accordingly.

A leave management system that tracks New Zealand-specific entitlements, flags eligibility issues, and automates KiwiSaver continuation during leave keeps employers compliant without manual spreadsheet tracking.

Frequently asked questions

How long is maternity leave in New Zealand?

Primary carer leave in New Zealand is 26 weeks, paid by the government through Working for Families tax credits at approximately $768.66 per week in 2026. Partners can access 2 weeks of partner leave.

Do I have to pay my employee during maternity leave?

No. New Zealand’s Paid Parental Leave is government-funded. The payment goes directly to the employee through IRD — the employer does not pay wages during PPL. However, the employer must continue KiwiSaver contributions during paid parental leave.

Can my employee transfer PPL to their partner?

Yes. The primary carer can transfer some of their PPL entitlement to their partner after taking at least 2 weeks of PPL themselves. The partner then receives PPL payments at the same weekly rate.

What happens to my employee’s position while they are on leave?

You must hold the employee’s position open (or offer a suitable alternative) for the full 26 weeks. Dismissing an employee for taking primary carer leave is prohibited under the Holidays Act 2003.

Does KiwiSaver continue during parental leave?

Yes. Employers must continue to make KiwiSaver employer contributions during paid parental leave. This is a statutory obligation that many employers overlook.

Putting it into practice

Five steps cover most New Zealand maternity leave compliance:

1. Confirm the employee has 26 consecutive weeks of employment before the expected date of birth.
2. Inform the employee of PPL eligibility and the IRD application process (at least 21 days before leave starts).
3. Continue KiwiSaver employer contributions during the PPL period.
4. Hold the employee’s position open for the full 26 weeks.
5. Begin return-to-work planning at least 4 weeks before the expected return date.

A leave management system that tracks New Zealand-specific entitlements, automates KiwiSaver continuation, and flags PPL eligibility issues keeps employers compliant across the full 26-week leave period.

Sources

• New Zealand Legislation — Holidays Act 2003 (primary source)
• Inland Revenue — Paid Parental Leave
• Business.govt.nz — Parental leave entitlements

This article is general information, not legal advice. New Zealand leave laws and PPL rates change annually — confirm current figures with the Holidays Act 2003 and Inland Revenue.