Many a new mom has entertained the idea of relocating to Sweden while fighting back tears (or letting them pour) as she drives away from her 3-month-old newborn to return to work after maternity leave. Tying with Mexico, the United States has the shortest maternity leave and the only unpaid leave of the countries we surveyed. Read on to learn which countries offer the best maternity and paternity leave and benefits, as well as tax credits or other monetary benefits for new parents.
UNITED STATES OF AMERICA
Maternity leave: Federal law requires companies that employ 50 or more workers to provide both mothers and fathers (as well as adoptive parents) up to 12 weeks of unpaid, job-protected leave for pregnancy and childbirth. Companies with smaller workforces are not held to federal requirements; however, many states have enacted legislation to address this gap (such as California, New York, Rhode Island and more), and many smaller-sized, private-sector companies adopt their own policy or choose to abide by federal law. The state of Texas does not have policy directly addressing employees at smaller establishments. Rather, Texas allows these companies the flexibility to dictate their own organization’s maternity and paternity benefits.
Family allowances: Families with one or more dependent children under age 17 may claim a child tax credit of $600. Low-income workers with two children or more may also receive Earned Income Tax Credits of up to $3,816 per year.
Sources: Family and Medical Leave Act (FMLA), the Internal Revenue Service and the U.S. Social Security Administration.
UNITED KINGDOM
Maternity leave: Employed mothers may use up to a year of job-protected maternity leave and are entitled to up to 39 weeks of paid leave. Benefits are paid either as Statutory Maternity Pay (SMP) or Maternity Allowance (MA) depending on the mother’s employment status. Statutory pay will compensate mothers 90 percent of their wages for the first six weeks of leave, and up to £120, or $173, weekly for the remaining 33 weeks. MA is paid at a flat rate, approximately £120, or $173, per week. Fathers are entitled to two weeks’ leave during the first two months following childbirth, paid at the flat rate (similar to MA).
Family allowances: Parents with a child younger than 16 may claim Child Benefits, which are a tax-free payment that parents typically claim every month. The benefits pay separate amounts for siblings: £20, or $29, a week for your oldest child and £13.20, or $19, a week for each additional child.
Source: Directgov.com, the official Web site for the United Kingdom government.
JAPAN
Maternity leave: Parents are both eligible for “child care leave” for the first year of a child’s birth. Parents are only eligible if they have been employed for one year and are likely to return to work after the leave of absence. Workers are compensated 60 percent of their wages.
Family allowances: Families are paid a yearly child benefit equal to about 250,000 Yen, or $2,531, and qualified low-income families receive child allowances of about 5,000 Yen, or $51, per month. Tax credits are also available for qualifying families.
Sources: Japan Institute for Labour Policy and Training and the Center for Contemporary Families (CCF).
FRANCE
Maternity leave: Female workers receive a mandatory paid, job-protected six-week maternity leave prior to childbirth and 10 weeks of leave after birth. At the end of the 10-week post-birth maternity leave, paid paternal leave is available to either parent until the child is 3 years old. French mothers receive 100 percent of net earnings for six weeks before childbirth and 10 weeks after the child’s birthdate.
Family allowances: Families are offered an array of allowances, all of which are income-based, such as a birth grant (approximately 808 Euros, or $1,068, offered at seven months of pregnancy); a base allowance (162 Euros, or $214, paid monthly from birth to age 3); income supplement for reduced work; financial supplement for childcare; and more.
Sources: CCF and the U.S. Social Security Administration.
MEXICO
Maternity benefits: Mothers receive paid leave, equal to 100 percent of their last daily earning (the minimum is the regional minimum wage) payable for 42 days before and 42 days after the date of childbirth.
Family allowances: Needy families, qualifying based on income level, may receive family assistance funds and childcare allowances. Additionally, a marriage grant is given in lump sum to married couples.
Source: U.S. Social Security Administration.
CANADA
Maternity benefits: All Canadian mothers receive paid leave equal to 55 percent of their average weekly earnings for 26 weeks. Parental care benefits provide additional paid leave for up to 35 weeks, depending on income-based qualifications.
Family allowances: Low-income and modest-income parents with dependent children can qualify for cash family supplements paid for up to 15 weeks after childbirth. Additionally, Canada provides a child-tax benefit and a universal childcare benefit.
Source: U.S. Social Security Administration.
SWEDEN
Maternity benefits: Parents receive a 480-day leave upon the birth of all children (not just firstborn); the leave must be shared between both parents — each individual must take at least 60 days. The parents are paid 80 percent of the couple’s lost earnings for 390 days after birth.
Family allowances: Parents can qualify for monthly child allowances if the child is younger than 16, depending on income level.
Sources: U.S. Social Security Administration and Sweden’s 1995 Parental Leave Act.
INDIA
Maternity benefits: Mothers receive a paid, job-protected leave for a total of six months. Six weeks of this leave must be taken prior to delivery. Women are compensated 100 percent of their average earnings, according to wage class, payable up to 12 weeks after birth.
Family allowances: Mothers receive a cash maternity grant, a lump-sum payment of 1,000 rupees, or $20.
Sources: U.S. Social Security Administration and India’s 1961 Maternity Benefit Act.
AUSTRALIA
Maternity benefits: Women may take up to 52 weeks unpaid in a job-protected leave of absence. However, this debate is a hot topic in Australia at the moment; lobbyists are pushing for legislation that would provide at least 14 weeks paid leave, during which working women would be paid 100 percent of their earnings.
Family allowances: The primary caregiver is eligible (depending on income level) for a baby bonus that is paid in 13 equal installments, or, in cases of bereavement (such as in the case of stillborn), the bonus is paid as a lump sum. Additionally, parents receive family tax benefits for dependent children up to age 20. The amount of tax benefits vary depending on income level.
Sources: The Australian Government Family Assistance Office and the U.S. Social Security Administration.
