SHAH ALAM, July 6 — The government is reviewing a proposal to introduce a Post-Maternity Leave Allowance (EPCB) to support business continuity and maintain high female labour force participation, the Dewan Rakyat heard today.
Deputy Human Resources Minister Datuk Khairul Firdaus Akbar Khan said the proposal would allow women who require additional recovery after completing their 98-day maternity leave to receive financial assistance for up to 30 days, including when they require unpaid leave or medical leave.
“To ensure the continuity of employers’ business operations without affecting productivity, while also ensuring that women’s labour force participation remains high, the ministry is reviewing a proposal to introduce EPCB through the Social Security Organisation (SOCSO).
"This new benefit is proposed at an 80 per cent rate of the assumed monthly wage and will be paid using the Employment Insurance System Fund (KWIP), without burdening government allocations or the company's operating finances,” he said in response to a question from Gopeng MP Tan Kar Hing on the 98-day maternity leave policy and its impact on female workforce participation and income.
Firdaus said the introduction of EPCB is a continuation of the labour law reform agenda actively being carried out by the Human Resources Ministry (KESUMA).
“It aims to balance compliance with worker protection laws, particularly regarding maternal health and postnatal recovery, with ensuring the continuity and sustainability of the industry.”
Meanwhile, Firdaus said more women are entering Malaysia’s workforce, with the female labour force participation rate increasing to 56.8 per cent in the first quarter of 2026, up from 56.5 per cent a year earlier.
He said data from the Statistics Department (DOSM) also showed that women’s average monthly salary increased by 5.7 per cent to RM3,499 in 2024, compared to RM3,311 in 2023.
He added that statistics on complaints related to maternity leave or maternity allowance showed a decline, with only 41 cases reported in 2025 compared to 67 cases in 2024.
Firdaus said the 98-day maternity leave entitlement has been in force since January 2023 in Peninsular Malaysia and May 2025 in Sabah and Sarawak, in line with amendments to the Employment Act 1955 and the Sabah and Sarawak Labour Ordinances.
Responding to concerns over possible workplace discrimination, Firdaus stressed that existing legal protections already prohibit employers from dismissing pregnant employees.
"Employers cannot terminate the service of a female employee who is pregnant or suffering from illnesses arising from pregnancy except under three circumstances: deliberate breach of an employment contract, misconduct or the closure of the employer's business.”
