The proposed NT$5,000 (US$159) growth subsidies are planned for implementation next year, and eligibility requires Republic of China citizenship and residency in Taiwan, Minister of Health and Welfare Shih Chung-liang (石崇良) said yesterday.
The subsidies would be distributed in two phases, with those for children aged younger than six receiving cash payments and for those aged six to 18 receiving payments half in cash and half via a special account deposit that would not be accessible until the child becomes 18.
The Ministry of Health and Welfare would work closely with household registration offices to ensure that children are citizens and have residency in Taiwan, Shih said, adding that only those who meet both criteria would be eligible.
Photo: David Chang, EPA
The government is mulling the possibility of parents applying for a portion of the subsidies if their child passes away before they turn 18, Shih said, adding that details regarding the issue are yet to be finalized.
The ministry would be the competent authority for distributing subsidies, and the funding would be included in next year’s fiscal budget, with availability contingent on legislative approval, Shih said.
Of the NT$205 billion in funds for family policies, NT$185 billion would be allocated to the growth allowance, Social and Family Affairs Administration Director-General Chou Tao-chun (周道君) said.
The remaining funds would cover other added measures, such as expanded subsidies for prenatal checkups, childcare and infant healthcare, Chou said.
Addressing concerns over how to fund the initiatives, National Development Council Minister Yeh Chun-hsien (葉俊顯) said that the government has already factored economic growth into its tax revenue projections.
Based on forecasts, GDP is expected to maintain an annual growth rate of at least 3 percent through 2028, meaning the nation’s overall financial condition remains “quite robust,” Yeh said.
Meanwhile, the Cabinet yesterday approved amendments to the Gender Equality in Employment Act (性別平等工作法) that would extend maternity leave from the existing eight weeks to 12 weeks, while paternity leave would be extended from seven to 14 days.
Parents would have up to 60 days of paid leave and subsidy calculations, up from 30, to take care of their children, according to the amendment.
The Ministry of Labor said it is considering the possibility of having companies set up childcare facilities or foot childcare expenses, adding that it would provide tax reductions of up to 200 percent of expenditures from the company’s total income.
Amendments to the Employment Insurance Act (就業保險法) would establish new categories and a Table of Grades of Labor Insurance Salary to ensure that the calculation of laborers’ actual income replacement ratio during paid leave is correct, the government said.
The changes would separate paid leave for mothers caring for infants, now defined as babies aged up to six years, and paid leave for children, defined as those aged seven and above.
Parents applying for paid leave may each apply for a three-month extension after they have both taken six months of paid leave, meaning each parent could take up to nine months of paid leave under a proposed scheme.
Additional reporting by CNA
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