Recently, many employers and employees have been asking:

• “Will paid maternity leave in Malaysia increase from 98 days to 128 days in 2026?”

• “Who pays for the additional 30 days?”

• “Will employers have to bear an extra month of salary?”

The topic has generated significant attention, but it is important to clarify one key point:

The Employment Act 1955 has not been amended to increase statutory maternity leave from 98 days to 128 days.

A more accurate explanation is:

98 days of statutory paid maternity leave + up to 30 days of post-maternity financial support = a potential postnatal recovery period of up to 128 days.

1. Malaysia's Statutory Maternity Leave Remains at 98 Days

Under the Employment Act 1955, eligible female employees are entitled to 98 consecutive days of paid maternity leave.

This entitlement has been in effect since 1 January 2023 and is not a new provision introduced in 2026.

The 98-day period is counted continuously, meaning that weekends, rest days, and public holidays are generally included within the maternity leave period.

2. The Real 2026 Update: Post-Maternity Leave Allowance (EPCB)

The new development attracting attention is the government's proposal to introduce:

Elaun Pasca Cuti Bersalin (EPCB)
Post-Maternity Leave Allowance

The purpose of this initiative is to provide additional financial support to eligible female employees who require extra recovery time after completing their statutory maternity leave.

Based on information currently available, the allowance may provide:

• Up to 30 additional days of support

• Approximately 80% of the employee's monthly salary

• A payment made through the proposed allowance mechanism

3. Does This Mean Maternity Leave Becomes 128 Days?

It can be understood as follows:

However, employers should avoid telling employees that:

❌ "Maternity leave has officially increased to 128 days."

A more accurate statement would be:

✅ "Under the proposed 2026 Post-Maternity Leave Allowance, eligible female employees may receive up to 30 additional days of financial support after completing their 98-day maternity leave, resulting in a potential recovery period of up to 128 days."

This distinction is important because the statutory maternity leave entitlement remains at 98 days, while the additional 30 days is expected to be supported through a separate allowance mechanism.

4. Example: Employee Earning RM5,000 Per Month

Assume a female employee earns RM5,000 per month and satisfies all eligibility requirements.

Existing 98-Day Paid Maternity Leave

During the statutory maternity leave period:

• The employee enjoys 98 consecutive days of paid maternity leave.

• Salary continues to be paid according to existing legal requirements.

In simple terms:

98 Days Maternity Leave = Normal Salary Paid

Additional 30-Day Post-Maternity Allowance

If the employee qualifies for EPCB after completing the 98-day maternity leave period:

Monthly Salary: RM5,000

80% Allowance Rate:

RM5,000 × 80% = RM4,000

The employee may therefore receive approximately RM4,000 in additional post-maternity support for the extra 30-day period.

Illustration

Therefore, when people say "paid maternity leave has increased to 128 days", the more accurate explanation is:

98 days of statutory paid maternity leave + up to 30 days of post-maternity allowance support = up to 128 days of postnatal recovery time.

This does not automatically mean employers must pay 128 days of full salary.

5. Who Pays for the Additional 30 Days?

One of the most common concerns among employers is:

"Will the company have to pay an extra 30 days of salary?"

Based on current announcements, the EPCB proposal is expected to be introduced through amendments related to the Employment Insurance System (EIS) framework.

The objective is to provide financial assistance through a social protection mechanism rather than transferring the entire additional cost directly to employers.

As a result, employers should focus on:

• Monitoring official announcements

• Understanding eligibility requirements

• Reviewing future implementation procedures

rather than assuming they will automatically bear an additional 30 days of full salary costs.

6. Who May Be Eligible?

Based on information currently available, eligible female employees may generally include those who:

• Have worked for at least 90 days within the 9 months preceding childbirth;

• Have been employed for at least one day during the four months immediately before childbirth;

• Have fewer than five surviving children at the time of delivery; and

• Are insured employees under the relevant social protection scheme.

Final eligibility requirements remain subject to official government guidelines.

7. Why Is the Government Introducing This Allowance?

The proposed allowance aims to:

• Provide additional recovery time for mothers after childbirth;

• Encourage female workforce participation;

• Reduce the number of women leaving employment after maternity leave;

• Support long-term career continuity for working mothers.

In other words, the initiative is not simply about extending leave but about improving support for women returning to the workforce after childbirth.

8. How Will This Affect Employers?

For SMEs and employers, this development is worth preparing for early.

Companies should review:

HR Policies

• Are maternity leave policies clearly stated?

Employment Contracts

• Do contracts include updated maternity leave provisions?

Payroll Systems

• Can payroll accurately distinguish between maternity leave payments and allowance-related support?

HR Knowledge

• Does the HR team understand the difference between the statutory 98-day leave and the proposed 30-day allowance?

Internal SOPs

• Will company procedures need updating once EPCB is officially implemented?

Businesses with female employees should not wait until an employee is about to go on maternity leave before addressing these issues.

9. The One Thing Employers Should Remember

The key message is simple:

Malaysia is not increasing statutory maternity leave from 98 days to 128 days.

Instead:

Female employees already enjoy 98 days of paid maternity leave. The proposed 2026 Post-Maternity Leave Allowance may provide eligible employees with up to 30 additional days of support at approximately 80% of salary, resulting in a potential recovery period of up to 128 days.

Conclusion

The reason this topic has attracted so much attention is because of the government's proposal to introduce the Post-Maternity Leave Allowance (EPCB).

If implemented, the allowance could provide eligible female employees with up to:

• 30 additional days of support

• Approximately 80% salary replacement

• Enhanced postnatal financial protection

For employees, this offers greater support during recovery after childbirth.

For employers, it represents an important HR, payroll, and compliance development that should be monitored closely.

Businesses should stay updated on official government announcements and review their internal policies early to avoid misunderstandings regarding maternity leave entitlements, salary payments, and employee rights.

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