Korea’s Birthrate Fight: Leave, Daycare and Parent Payments — 2026-09-09
South Korea’s government finalized the "Basic Act on Population Strategy" enforcement decree on September 8, officially establishing a new Population Strategy Committee to oversee demographic policy. Concurrently, new data reveals a record 36.5% male uptake of parental leave in 2025, though women continue to leave the workforce at higher rates. The 2027 budget proposal includes expanded cash incentives and childcare support, aiming to sustain the recent rebound in birth rates.
Korea’s Birthrate Fight: Leave, Daycare and Parent Payments — 2026-09-09
Enforcement Decree for Population Strategy Committee Passed
On September 8, 2026, the Cabinet Council approved the full revision of the "Framework Act on Low Birth Rates and Aging Society," renaming it the "Basic Act on Population Strategy." This legal change facilitates the launch of the Population Strategy Committee, which will serve as the central control tower for population policy, involving 14 ministries. The decree outlines specific guidelines for budget pre-consultation and the qualifications for population policy officers, marking a structural shift in how the government addresses demographic decline.
Record Male Participation in Parental Leave
Data published on September 3 highlights that men accounted for a record 36.5% of parental leave recipients in 2025, a significant increase from previous years. Despite this progress in gender parity within leave-taking, 31.7% of women with children under age six had still left their careers, indicating that workplace culture and childcare infrastructure remain barriers to female labor force retention.
2027 Budget Proposes Expanded Cash and Asset Support
The government’s 2027 budget proposal, reported in early September, allocates 6.1 trillion won for low-birth-rate countermeasures, an increase of 800 billion won from the previous year. Key measures include a "Child Independence Fund" offering up to 100 million won per child for asset formation and direct cash payments of 10 million won upon childbirth. These financial incentives aim to lower the economic barrier to raising children, complementing existing parental leave and daycare subsidies.
Debate Over Non-Marriage Welfare Disparities
As government benefits for marriage and childbirth expand, local media are highlighting growing dissatisfaction among unmarried individuals and those without children. A September 7 report notes that while regular employees at large corporations receive substantial childcare support, non-married citizens feel excluded from the welfare system. This social friction poses a challenge to the broader acceptance of pro-natalist policies that prioritize family units over individual support.
Local view
Local stakeholders are calling for stricter enforcement of childcare quality standards as part of the broader demographic strategy. Dong-a Economic Newspaper reports that experts are demanding the legalization of a 1:2 teacher-to-infant ratio in zero-year-old classes and state-funded support for childcare costs and staff salaries. These demands aim to improve the quality of early childhood education, which is seen as critical for encouraging couples to have more than one child. Meanwhile, Sisun News compiled a weekly briefing on parenting policies, noting new initiatives from the Ministry of Health and Welfare to share child abuse information more rapidly, reflecting a dual focus on safety and fertility incentives.
Context & numbers
- Fertility Rate Rebound: The total fertility rate rose to 0.80 in 2025, up from 0.75 in 2024, marking the first time in four years the rate exceeded 0.8. Births reached 254,300 in 2025, a 6.7% year-on-year increase.
- Parental Leave Uptake: Male participation in parental leave hit 36.5% in 2025, driven by policy changes such as the expansion of spousal maternity leave to 20 days and the allowance for split usage up to three times.
- Budget Allocation: The 2027 budget earmarks 6.1 trillion won for low-birth-rate measures, including increased cash allowances and housing perks for young families.
On the radar
- Population Strategy Committee Launch: Following the September 8 decree approval, the new committee is expected to begin formal operations soon, potentially announcing its first comprehensive mid-term plan.
- Legislative Previews: The Ministry of Health and Welfare has indicated it will quickly finalize detailed guidelines for budget pre-consultations under the new act, which may influence upcoming fiscal negotiations.
- Work-Life Balance Policies: Continued discussions on the "Work-Family Balance Account" within employment insurance, aiming to share the financial burden of maternity protection among labor, management, and government.
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