PAID MATERNITY BENEFITS FOR THIRD CHILD

The following Question stood in the name of Mrs Yu-Foo Yee Shoon -

Mrs Yu-Foo Yee Shoon: To ask the Minister for Labour whether he will introduce legislation to amend Part IX of the Employment Act to provide for paid maternity benefits to female workers on the delivery of their third child.

Dr Vasoo: Question No. 7, Sir.

Mr Lee Yock Suan: Mr Speaker, Sir, the possibility of amending the Employment Act to extend paid maternity benefits to the third child was considered during the formulation of the package of incentives to encourage procreation. Instead of paid maternity benefits, the Government 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 claim additional tax rebate equivalent to 15% (or about two months) of their annual earned income.

I will therefore not be introducing legislation to amend the Employment Act to provide for paid maternity benefits for the third child.

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