Q: I see that employers are allowed to top up Parental leave payments as per below, but how do they do this in the payroll, so that it doesn’t look like they have returned to work?   And if the employee did not return back to work after the leave ended, would these payments change their final date

https://www.ird.govt.nz/paid-parental-leave/payments

A: This is an agreed term to start with.  Code it differently call it a parental leave top up (employee may have to use a sec tax code but that is up to them).  If the employee does not return then the first day of parental leave is the termination date and any payment earned after the first day of parental leave is not included in the 8% on termination.  Up to the employee is they try to recover money based on the rules of the Wages Protection Act.