Free to Read: China Seeks a Baby Boom With a Raft of Family-Friendly Measures
Medical staff at Xinle Hospital in Shijiazhuang, Hebei province, inform expectant mothers about breast feeding on Aug. 5, 2024.
China on Monday announced new policy measures to boost fertility, support child-rearing and promote a child-friendly society as it grapples with a declining birth rate and an aging population.
In 2023, only 9.02 million babies were born nationwide, the lowest number since 1949, marking two consecutive years of negative population growth. Meanwhile, more than 20% of the population is now over 60 years old, making China a moderately aging society.
To address this demographic challenge, the State Council on Monday issued a policy package, including 13 key support areas, focusing on fertility, child-rearing, education, housing and employment, with the aim of creating population growth.
The policy proposes to improve maternity leave regulations. Local governments are told to coordinate funds from multiple sources and establish a cost-sharing mechanism to strengthen maternity leave systems. The aim is to ensure new mothers receive the leave and childcare mandated by law.
The government plans to introduce a national maternity subsidy system. More than 30 regions already offer local subsidies. Once the national subsidy is implemented, existing local lump-sum payments for second and third children will remain, but monthly benefits will be discontinued, a local health official told Caixin.
Tax relief measures — such as increasing individual income tax deductions for childcare and education costs — will be enhanced.
Healthcare reforms are also central to the plan. The new measures will expand access to reproductive health services, including labor pain relief and assisted reproductive technologies, which will be covered by medical insurance. Prenatal education will be promoted to reduce unplanned pregnancies and support care for early pregnancies and abortions.
The policy seeks to boost the supply of affordable childcare services and improve subsidies for childcare institutions. Local governments will be encouraged to offer preferential tax rates for these services, and childcare institutions will be eligible for discounts on utilities to reduce operational costs. A talent development plan for the childcare industry is also in the pipeline.
The government intends to optimize the distribution of educational resources, to align with shifting population patterns. Policies such as the “double reduction” initiative, which aims to reduce the burden of excessive homework for pupils and reduce the financial anxiety of parents facing extra educational costs, will be reinforced. Schools will also be encouraged to offer more after-school services and provide coeducational places to help families with more than one child.
In the housing sector, the policy proposes incentives for families with a number of children. This includes raising the housing provident fund loan limits and expanding access to low-income housing. Families with young children will receive priority in housing programs, and the government aims to develop the rental market to ensure tenants enjoy equal public services.
Employment policies are being adjusted to support women, especially those returning to work after having a baby. Employers will be encouraged to provide special labor protections for female workers and promote family-friendly workplaces through flexible hours and offering the option of working from home. Companies are also urged to offer childcare during summer and winter holidays and organize activities to help employees with family responsibilities.
The government wants to see a shift in social norms around marriage and childbirth. It would like a move away from extravagant weddings and betrothal gifts, promoting simpler, meaningful ceremonies instead.