July 1 is Australia’s compliance new year, and this one is heavy. Australia parental leave super is now real. The government will pay 12% super on top of Parental Leave Pay, and paid leave stretches to 26 weeks. Meanwhile, payday super goes live, minimum wages jump 4.75%, and two key thresholds move. Singapore also lifts its retirement age on the same morning. So if you employ anyone in Australia or Singapore, several things changed while you slept. Here is what to act on this week.
Australia parental leave super arrives, and paid leave stretches to 26 weeks
What changed on July 1
For children born or adopted on or after 1 July 2025, Services Australia now adds a superannuation contribution to Parental Leave Pay. The rate is 12%, the same as the super guarantee. The ATO pays it straight into the parent’s fund (source: Xemplo). Payments start from July 2026, after the end of the financial year in which the leave was taken (source: Moore Australia).
At the same time, paid parental leave itself grew. From 1 July 2026, eligible families get 26 weeks, up from 24. That equals 130 days across a five-day week. And 20 of those days are now reserved for each parent (source: People Matters).
Why Australia parental leave super matters for your budget
Here is the part founders miss. The super contribution is government-funded, so it does not hit your payroll. But it changes the conversation with your team. As a result, parents keep building retirement savings while on leave, which closes a gap that mostly hurt mothers. If you run a distributed team with Australian staff, expect questions about how your company-paid leave stacks on top. Review your own policy now, because the statutory floor moved. For a refresher on entitlements, see our guide to leave policy in Australia. The contribution is taxed at 15% inside the fund and counts toward the concessional cap, so high earners on long leave should check their cap (source: ATO).
Payday super goes live: pay super every payday
The bigger payroll shift for employers also started July 1. Under payday super, you must pay the super guarantee every time you pay wages, not quarterly (source: ATO). The money has to reach the employee’s fund within 7 business days of payday. Miss that window, and the ATO applies the super guarantee charge. Super is still 12% of ordinary time earnings, now measured as “qualifying earnings.” Moreover, the ATO watches compliance in near real time through Single Touch Payroll (source: Fair Work Ombudsman). So if you hire directly in Australia, confirm your payroll system pays super per cycle, not per quarter. If you use an EOR or payroll provider, ask them to confirm the same in writing. Check the mechanics on our Australia payroll page.
Award wages rise 4.75%, and two thresholds shift
The Fair Work Commission lifted minimum and award wages by 4.75% from July 1 (source: Fair Work Ombudsman). The national minimum wage is now $26.44 an hour, or $1,004.90 a week before tax. In addition, casual workers on the minimum get at least $33.05 an hour once the 25% loading is added. About 2.8 million award-covered employees are affected. Two other numbers moved as well. The high income threshold rose to $190,100, up from $183,100. And the unfair dismissal compensation cap climbed to $95,050 (source: Lander & Rogers). Therefore, if you employ Australians near either threshold, revisit contracts and dismissal risk before your next review cycle.
Singapore lifts its retirement age to 64
Singapore made its own July 1 move. The statutory retirement age rose from 63 to 64, and the re-employment age went from 68 to 69 (source: Singapore MOM). Both sit on a path to 65 and 70 by 2030 (source: L&E Global). Still, the rules cover only citizens and permanent residents, not foreign work-pass holders. For employers, the practical change is the re-employment offer. You must offer eligible senior staff a yearly renewable contract up to age 69. Best practice is to make that offer at least three months before retirement. So if you hire in Singapore, check our Singapore employment law overview and update your workforce planning for older staff.
Quick hits
- India: The four Labour Codes took effect on 21 November 2025, and states keep notifying their rules. Karnataka, Maharashtra and Kerala have published theirs (source: India.gov.in). Because the new wage definition can raise PF and gratuity costs, model the impact using our India labour law guide.
- United States: More than 15 states and localities raised minimum wages this July. For example, Alaska went to $14, Oregon’s standard rate to $15.55, Washington DC to $18.40, and Chicago to $17.05 (source: ADP).
Action items this week
If you pay staff in Australia: Confirm your payroll pays super within 7 business days of every payday. Then update your minimum and award rates to the 4.75% increase before your next run.
If Australian parents are on leave: Tell them super now accrues on Parental Leave Pay, and paid leave runs to 26 weeks for children born or adopted from 1 July 2025.
If you hire in Singapore: Prepare re-employment offers for staff turning 64, and extend renewable contracts through age 69. Send the offer at least three months out.
If you have Indian staff: Check whether your state has notified Labour Code rules yet. Then model the new wage-definition impact on provident fund and gratuity.
July 1 shows why a single compliance calendar per country is not optional. Australia parental leave super, payday super, and Singapore’s retirement change all landed on the same morning. If tracking this across borders is eating your week, Asanify’s Global HRMS and EOR handle multi-country payroll, super, and statutory updates in one place.
Parental leave super and July 1 questions
What is Australia parental leave super?
It is a 12% superannuation contribution the government pays on Parental Leave Pay for children born or adopted from 1 July 2025. The ATO pays it into the parent’s fund after the financial year ends. It works like the standard super guarantee and helps parents keep saving during leave.
Does payday super change how much super I owe?
No. The rate stays at 12% of ordinary time earnings. What changes is timing. You must pay super every payday, and it must reach the fund within 7 business days, instead of quarterly.
What is Australia’s new minimum wage from July 1 2026?
The national minimum wage is $26.44 an hour, or $1,004.90 a week before tax, after a 4.75% increase. Casual employees on the minimum earn at least $33.05 an hour once the 25% loading is added.
Do Singapore’s retirement age changes apply to foreign employees?
No. The higher retirement age of 64 and re-employment age of 69 apply to Singapore citizens and permanent residents. Employees on work passes such as EP or S Pass are not covered.
Do we need an EOR to manage these multi-country changes?
It depends on headcount and how many countries you hire in. For a handful of hires per country, an EOR absorbs payroll, super, and statutory updates automatically. Larger teams in one country often set up a local entity instead.
Not to be considered as tax, legal, financial or HR advice. Regulations change over time so please consult a lawyer, accountant or Labour Law expert for specific guidance.
