What are the changes to the reimbursement limit for parents with multiple employment?
From 1 Apr 2025, the limits for reimbursement will be implemented on a “per-parent” basis. Working parents with multiple employments will continue to be entitled to paid leave with their employments. However, these parents will only be eligible for payments up to the reimbursement limit of $2,500 per week for birth-linked schemes and $500 per day for childcare leave schemes across all employments.
This change ensures parity on the amount of Government-paid leave granted to all parents regardless of the number of employments they have, and is one of MSF’s corrective actions to address AGO’s observations of possible irregularities in the payment of Government-paid Leave Schemes in 2024. We expect that majority of parents would not exceed the per-parent reimbursement cap due to multiple employment.
Government-Paid Maternity Leave (GPML), Adoption Leave for Mothers (AL), Government-Paid Paternity Leave (GPPL) and Shared Parental Leave (SPL)
For parents (with child born/Formal Intent to Adopt (FIA) date on or after 1 Apr 2025) that have multiple employers and whose total claim amount exceed the per-parent limit, the processing of these claims will be deferred until (i) all of the parent’s employers has fully submitted claims under the leave scheme, or (ii) 15 months from the child’s date of birth/FIA date, whichever is earlier.
The claim amount for an individual employment will be apportioned based on the following formula:
Unapportioned claim amount for an individual employment divided by the sum of unapportioned claim amounts across all multiple employments, multiplied by per-parent reimbursement limit.
The parent’s employers are required to pay the employee the full salary during the months that the employee is on leave. If the employer’s claim amount is reduced due to apportionment, the employer may claw back excess amounts from the employee after receiving reimbursement from the Government.
Government-Paid Childcare Leave (GPCL) & Extended Childcare Leave (ECL)
For claims submitted on or after 1 Apr 2025, the claim in respect of a parent with multiple employment will be paid up to the per-parent reimbursement limit. Once the limit is reached, subsequent claims will be rejected.