KUALA LUMPUR – Malaysia’s new post-maternity allowance (EPCB) will help working mothers without imposing any direct fiscal burden on employers, Perkeso confirmed today.
The allowance, approved in principle by the government, is designed to reduce financial pressure on women after childbirth while encouraging greater participation in the labour force.
“The approach is based on shared liability and aligns Malaysia with international standards set by the International Labour Organization (ILO),” Perkeso said.
“Countries such as Spain, Portugal, France and China have implemented similar measures, using social security funds to sustain industries without compromising the welfare of postnatal women. Its implementation is critical not only for preserving maternal health but also to prevent women from leaving their careers due to increased family living costs,” the statement added.
The scheme will be implemented through amendments to the Employment Insurance System Act 2017 (Act 800). The government agreed in principle to provide EPCB at 80 per cent of the assumed monthly wage for insured female employees, paid as a one-off.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative is expected to benefit more than 132,000 female workers nationwide.
“Female labour force participation rates have slightly declined. We studied the 25 to 39 age cohort, and those aged 25-29 are most affected due to the commitments of motherhood.
“The rationale is that we do not want, as has happened in the past, mothers to feel forced to quit and leave the workforce.
“This allowance is financial support for additional leave of up to 30 days per month taken after the standard 98-day maternity leave,” he added during his speech at the national Labour Day celebration yesterday.
Under the Employment Act 1955, all female employees in Malaysia are entitled to 98 consecutive days of maternity leave, inclusive of rest days and public holidays.
Female workers are also eligible for maternity allowances provided they have worked at least 90 days in the nine months preceding childbirth, at least one day in the four months before delivery, and have fewer than five living children.
Perkeso also highlighted the Perkeso Commuter Scheme, which aids around 1.6 million individuals, including nearly 480,000 cross-border commuters via the Johor Causeway. The programme, under the Self-Employment Social Security Protection Act 2017 (Act 789), addresses gaps in social protection for workers exposed to socio-economic risks.
“This step ensures that the economic lifeline of these families is protected against previously unaddressed risks. It is not merely an expansion of the scheme but a demonstration of support for hundreds of thousands of workers facing high risks for their livelihoods,” Perkeso said.
Perkeso confirmed that operational systems have been strengthened to ensure smooth implementation of both initiatives in line with the government’s Madani agenda.
“Perkeso is now at the highest level of readiness to execute this mandate, ensuring that every improvement delivers tangible benefits to the well-being of the rakyat,” the statement concluded. - May 2, 2026
The post No fiscal burden: Post-maternity allowance to support working mothers with no cost to employers: Perkeso appeared first on Scoop.
