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Policy Options on Establishing and Improving the Parental Leave System (No.151, 2021)
2021-08-10
By Zhang Bingzi, Research Department of Social Development
Research Report, No.151, 2021 (Total 6216) 2021-6-9
Abstract: In recent years, China’s fertility rate has fallen evidently. The major reason relating to childbirth willingness decline is due to the fact that parents find it hard to balance work and family life. The 14th Five-Year Plan (2021-2025) and the Long-Range Objectives through the Year 2035 have made it clear that the government will explore ways for the formulation of parental leave system, which will be a crucial measure to dock economic and social policies with childbirth policies. As a new policy tool, in order to bring into full play the role of this new policy tool in supporting childbirth and ensuring workers’ rights and interests, it is necessary for it to take into full account the benefit relations within households, between sexes, among employees, and between employees and employers before making institutional plans. This paper suggests that parental leave be made as paid leave, that subsidies be paid by maternity insurance funds, and that employers be subsidized with the maternity insurance funds. Parental leave should be targeted at meeting temporary needs of parents for caring children, providing leave for both fathers and mothers and placing workers in flexible employment under the parental leave system. It is estimated that a slight increase in maternity insurance will realize sustainable funding, and will not add any burden to enterprises, but rather it will strengthen their willingness to finance the insurance scheme.
Keywords: parental leave, maternity insurance, childbirth willingness
