KUALA LUMPUR, May 2 — The introduction of the Post-Maternity Leave Allowance (EPCB) is expected to increase the female labour participation rate (FLPR), aligning Malaysia with the global standards outlined by the International Labour Organisation.
The Social Security Organisation (SOCSO) in a statement today said the benefit employs a liability-sharing approach by absorbing part of the living cost burden on employees during the additional leave without directly impacting employers’ operations.
According to SOCSO, the approach has been implemented in developed countries such as Spain, Portugal, France and China, using social security funds to ensure industry continuity without neglecting the welfare of women after childbirth.
“The implementation of this is not only critical in preserving the health of pregnant women but also serves as a buffer against the tendency of women to leave their careers after childbirth due to the rising cost of living for families.
“As the main driver, SOCSO is determined to make the EPCB a cornerstone for a more inclusive, fair, and progressive Malaysian labour market,” it said.
The EPCB will be implemented via amendments to the Employment Insurance System Act 2017.
Meanwhile, SOCSO said the implementation of the SOCSO Traveller Scheme under the Self-Employment Social Security Protection Act 2017 fills the gaps in social protection involving cross-border workers.
“This measure is expected to protect around 1.6 million individuals, including nearly 480,000 workers who commute daily via the Johor Causeway, to ensure they receive appropriate protection from previously unmanageable risks.
“This is not just an extension of the scheme, but rather a manifestation of support for the sacrifices of hundreds of thousands of workers who face high risks for their survival,” the statement read.
The agency emphasised that all operational mechanisms and support systems have been streamlined to ensure the smooth implementation of both initiatives in line with the aspirations of the Madani Government.
“SOCSO is now optimally ready to implement the mandate to ensure every improvement has a tangible impact on the people’s well-being,” it said.
Yesterday, Prime Minister Datuk Seri Anwar Ibrahim, in his Labour Day address, said the government would introduce the EPCB as a progressive step to support women’s participation in the workforce, following a slight decline in the FLPR partly due to maternity commitments.
