MATERNITY BENEFITS FOR FEMALE EMPLOYEES BEARING THIRD CHILD (Legislation)

Dr Wong Kwei Cheong asked the Minister for Labour (a) when amending legislation will be introduced to extend maternity benefits to female employees bearing the third child; and (b) if the Government will take steps to encourage the private sector to amend collective agreements to include such maternity benefits.

Mr Lee Yock Suan: Mr Speaker, Sir, the Government has not decided to amend the Employment Act to extend maternity benefits to female employees bearing the third child.

This was considered during the formulation of the package of incentives to encourage procreation under the new population policy. Instead of paid maternity leave, it was decided that a tax incentive should be given to working mothers who have to take unpaid maternity leave for their third child. Such working mothers can now claim additional tax rebate equivalent to 15% (or about two months) of their annual earned income.

The maternity provisions in the Employment Act should therefore be viewed in the context of the total package of incentives to support the new population policy.

Under the Employment Act, collective agreements can only provide for maternity benefits in respect of the first and second children.