Parents will have access to a simpler and more flexible paid parental leave scheme if the federal government successfully passes its first stage of reforms.
Social Services Minister Amanda Rishworth introduced the first of several planned changes to the current scheme on Wednesday.
She said Australia needed a paid parental leave scheme which reflected the needs of modern families currently not provided for.
"The scheme as it is today is built on gendered assumptions of primary and secondary carers which limits parents' abilities to share care," Ms Rishworth said.
"This change is long overdue."
Proposed reforms will increase the scheme from 18 to 20 weeks by combining the two existing payments into one.
The changes will also increase flexibility for how parents take the leave and simplify the claims process.
Reforms are intended to encourage more dads to take time off work to share care responsibilities.
Parliament will need to pass these amendments to current law by March for them to come into effect by July 1.
Ms Rishworth said the changes would benefit roughly 180,000 Australian families each year.
"Improving paid parental leave is critical reform ... one of the best ways to boost productivity is to provide more support for families," she said.
"Not only will changes help families better balance work and care, they will also support additional participation over the longer term, providing a dividend for the Australian economy."
In its October budget, the government committed to progressively increase the paid parental leave scheme from July 2024 until it reaches 26 weeks in 2026.