On the second anniversary of his inauguration, President William Lai (賴清德) introduced the “0-to-18 full support” policy, which would expand the parental leave system by extending eligibility to parents with children up to six years old. The policy would also include an NT$5,000 monthly allowance for every child aged 0 up to 18 and housing tax incentives for families raising children. The government would also review regulations governing marriage leave, maternity leave and paternity leave. The overall direction of this policy is commendable. Taiwan’s declining birthrate has already become a national security issue, and the government’s willingness to respond directly to public concerns shows that it recognizes the pressures young families are facing.
However, the declining birthrate cannot be addressed simply by handing out money. Providing NT$5,000 per month for every child could certainly alleviate some of the financial burden on families, but the problem is that most families in Taiwan only have one child, or are afraid to even have children at all. If policies do not differentiate between family situations and instead rely only on blanket handouts, it would be difficult to persuade couples who originally planned to have just one child to consider having a second or a third.
Therefore, subsidies should be designed more strategically. The first child should receive a basic level of support, but the benefits provided for subsequent children should increase proportionally. This could include increased maternity subsidies, childcare subsidies, daycare assistance, rental or home-purchase incentives, and education-related tax deductions. This is not unfair — it is a tiered support mechanism, as the purpose of the policy is to provide more substantial support for families willing to have more children.
Expanding eligibility for parental leave until a child turns six years old is also a good policy. For many parents, it is not that they do not want to spend time with their children, but that they are constrained by mortgage pressure, reduced salaries and other workplace demands.
If the government could subsidize wage gaps, provide businesses with staffing replacement subsidies or even promote a “reduced working hours without reduced pay” scheme, thereby allowing parents to pick up their children earlier and spend more time with them as they grow, that would truly be a “family-friendly” policy.
Subsidies alone are not enough to solve Taiwan’s low birthrate. The rising reluctance among young people to marry and have children is also driven by issues such as excessively high housing prices, insufficient wages, inadequate childcare services, unfriendly work environments, gender inequality in the division of household labor and the heavy costs of education. If the government only hands out a lump sum without addressing these broader pressures, young people would still feel as if once they have a child, they would be left to bear the burden alone.
More importantly, societal attitudes must also keep up with the times.
While encouraging marriage remains important, marriage and childbearing are not necessarily linked. In many Western countries, the proportion of children born out of wedlock is relatively high, and legal protections are more comprehensive.
Taiwan has already legalized same-sex marriage, and family structures are also changing. The government should consider providing appropriate support for those who are willing to have children, but might not necessarily identify with traditional marriage practices.
Assisted reproduction laws should likewise be improved more quickly to provide more options for people who wish to have children while adhering to national conditions, ethical oversight and the protection of children’s rights and welfare.
Childbirth, childcare, and education are the three heaviest burdens for families with children. If the government truly wants to address the declining birthrate, it must offer concrete policies rather than empty slogans.
Enabling young people to want to marry, and feel confident about having children and being able to afford raising them, would require a series of interconnected policy steps — ensuring young people earn a reasonable income upon entering the workforce, providing housing support when they start a family, expanding access to childcare services after they have children and offering educational assistance as those children grow.
Time is running out to address this issue. The fewer children born today, the more severe future labor, talent and caregiving shortages would become.
Any policy that helps reduce the financial burden on families and increases young peoples’ willingness to have children is worth trying.
If the situation continues to worsen, it would not only lead to insufficient enrollment in kindergartens, but also a shrinking workforce, rising long-term care pressures and declining national competitiveness.
Negative population growth is not a crisis to handle tomorrow — it is a national warning that must be confronted today. To truly repair the damage, we cannot simply provide cash handouts, but rather allow the public to witness a comprehensive policy package and a sustained long-term commitment.
Chen Ching-yun is a former director of the Legislative Yuan’s Bureau of Legal Affairs.
T0ranslated by Kyra Gustavsen
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