Parental leave benefit raised to 80% when both parents take leave, plus a reduced-hours benefit

Since 1 April 2025, a post-birth leave support benefit adds 13% of pay for up to 28 days when both parents take at least 14 days of leave soon after the birth, taking the total to 80%, close to full take-home pay. A separate benefit pays 10% of wages to parents working shorter hours for a child under two.

Status
In force
Effective
1 April 2025
Decided
12 June 2024
Type
Statute amendment
Applies to
Employees insured under employment insurance who take childcare or post-birth leave, or work reduced hours for a child under two

What changes

The Act Partially Amending the Act on Child and Child-rearing Support and Related Acts (Act No. 47 of 2024, promulgated 12 June 2024) amended the Employment Insurance Act to add two benefits from 1 April 2025.

The post-birth leave support benefit pays 13% of the wage at the start of leave, for up to 28 days, on top of the 67% childcare leave or post-birth leave benefit. Both parents must each take at least 14 days of leave: the non-birthing parent within eight weeks of the birth, the birthing parent within 16 weeks. The spouse condition is waived where the spouse cannot take leave, for example because they are not in work, are self-employed or are on maternity leave. Since benefits are free of income tax and social insurance contributions are waived during leave, 80% of gross pay is about the same as normal take-home pay.

The reduced-hours childcare benefit pays up to 10% of the wages paid while an employee works shorter hours to care for a child under two, partly offsetting the pay cut.

Both are paid by employment insurance, not by the employer, and are claimed through the employer at Hello Work.

Who it applies to

Employees covered by employment insurance at any employer, men and women, including foreign staff. Board directors are generally not covered.

Action for employers

Sources

General information for employers, not legal advice. Dates and thresholds are checked against the sources listed and dated above; confirm anything you act on with a Japanese employment lawyer or a licensed labour and social security attorney.