If you’re thinking about becoming a parent, it’s natural to want to start planning ahead financially. There are all the expected costs involved: cot, pram, toys and day care. But what about the hidden costs?
According to the 2022 Carers Australia Evaluate Report, primary carers lose an average of $175,000 in superannuation and $392,500 in lifetime earnings, to the age of 67!*
Although many more men than ever in Australia are opting to take primary parental leave (around one in twenty as of 2019**), the impact of this huge financial deficit is still most heavily shouldered by women employees on their earning potential.
In response to the report’s findings – and from listening to their employees’ concerns – BAE Systems has launched a series of radical updated parental leave policies, aimed at addressing this earnings black hole. Joanna Coliver, Employee Experience Lead, says of the new policies:
“It’s another milestone in our gender equity strategy, helping to level the playing field for our primary carers. Our new benefits respond to what matters most to our people: time, financial security and equity.”
Securing the financial future for primary carers
Tackling the thorny issue of the financial implications of starting a family head-on, BAE Systems has announced big changes to its parental leave package, starting with improving paid leave:
“Starting from 1 July 2025, we increased paid primary parental leave from 18 weeks to 22 weeks. And from 1 July 2026, it’ll increase to 26 weeks. This will allow more time to bond with your little one, more financial security, and more recognition of the incredible role parents play.”
Superannuation – or the lack of it – is a big issue that is rarely talked about when it comes to parental leave. It is not typically paid during the unpaid part of a primary carer’s leave and Joanna and her team want to redress this imbalance immediately:
“We’ve also introduced superannuation on the unpaid portion of primary carer’s leave, up to 12 months, to ensure those taking time to care for their family don’t fall behind financially in the long run. Providing superannuation top-up payments is particularly important for us at BAE Systems Australia to help build long-term financial security for our people.”
Moves like these benefit everyone involved—new parents and carers feel more secure in their finances, and BAE Systems retains some of its most talented team members.
“This investment reinforces our commitment to attracting and retaining the best talent while fostering a truly inclusive workplace. It’s a way of ensuring that every parent at BAE Systems Australia has the support they deserve. As defence is traditionally male-dominated, enhancing our parental leave benefits will hopefully encourage more women into the workforce.”
BAE Systems is taking radical steps to address the hidden financial losses faced by working parents.
Find out about their other policies and benefits.
Levelling the playing field
The policies are a huge step towards increasing gender equity and creating the right environment for everyone to thrive – at home and at work. Angela Wiggins, Chief People Officer, wants the new policies to provide ‘better support for all our new parents, regardless of gender or family structure.’
“These enhancements are part of our Gender Equity strategy, but they go beyond policy changes – they’re about creating a more inclusive and supportive workplace for all parents. We want to inspire and maintain a diverse and inclusive workforce where women can reach their full potential.”
As well as the increased financial benefits, the eligibility waiting time for paid parental leave has reduced from 12 months to 6 months. And Angela also wants secondary carers to know BAE Systems values the important role they play too:
“Our secondary carers’ leave provides for up to 12 weeks paid leave, and it can commence any time within 18 months of the birth or adoption.”
Graduate and Intern Partner, Brenna Ryan – who recently celebrated the birth of her first child – recalls the moment her joy about her pregnancy was replaced with uncertainty and worry about her financial stability as a new parent.
She shares how BAE Systems’ revised parental leave policies allowed her to worry less and enjoy her transition into parenthood more.
“I was extremely excited when I found out that my partner and I were pregnant and expecting our first baby. But thoughts of welcoming a new member to the family quickly turned to thinking about needing to step away from the workforce for a period of time and the financial implications that this may have on my family. This worry was short-lived, as BAE Systems Australia announced paid primary parental leave was increasing to 22 weeks! In addition to this, any unpaid leave will have superannuation paid for by the company. This makes me feel more financially secure about the future and allows me to focus on being a new mum and spending time with my family.”
Modern workplaces support families to thrive
Successful, happy workplaces need to support everyone—and this can’t end just because you become a parent. Angela says the new policies go further than simply redressing financial inequality and are a step towards creating a culture that meets the needs of all its employees.
“We aim to be a truly family-friendly employer. We want our people to know they don’t have to choose between building a family and building a career. Whether planning a family or preparing for parenthood, these policy changes are designed to help our people thrive both at home and at work.”
Maciek Zielinski, Head of Employee Relations, knows that businesses need to adapt to stay ahead of a changing workforce and build a culture that represents everyone.
“When it comes to modern workplaces that support new families, both women and men take time off to care for newborns or adopted children. These policies are another way we’re delivering on our commitment to gender equality and inclusive workplace practices in a meaningful and practical way.”
As a leader in Defence, BAE Systems is helping raise the benchmark in the industry – and across Australia – when it comes to supporting working parents.
“As Australia’s largest defence company, we have a unique opportunity to lead the way – and we’re doing just that. These benefits will support all parents, regardless of gender, and will play a key role in creating greater opportunities for parents to be there for those moments that matter.”
As a new mum, Brenna knows her capabilities as an employee and her career aspirations for the future have not diminished since becoming a parent – and she’s thankful that BAE Systems recognises this too:
“I am grateful to work for a company that truly values the role that parents play in the workforce and actively works on improving the support and benefits on offer.”
Great culture, great outcomes
The message BAE Systems would like to share with other employers is that improving gender equity and encouraging parents to thrive in the workplace is more than just ‘ticking diversity boxes’. Maciek has seen firsthand how providing support for working parents can improve the workplace experience for everyone:
“By having an industry-leading offering, our aim is to increase female participation in our workplaces, as we recognise this contributes immensely to great culture and great outcomes – as a leader of a talented, female-dominated team, I can personally vouch for that!”
