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Flexible working arrangements could be a better solution to helping employees manage their caring responsibilities, as opposed to giving them access to extended unpaid leave, a Productivity Commission inquiry has found.

The inquiry report examined the potential effects of including an entitlement to extended unpaid carer's leave in the National Employment Standards (NES), finding such an entitlement would have "few positive impacts" and would add some costs to employers.

The number of carers who would potentially benefit from taking one-to-12 months' extended unpaid leave would be "small", the report says, while the "net benefits to the community are expected to be modest at best"...