Article on Population: Feathering the stork's nest, Straits Times, 14 Oct 2009

Feathering the stork's nest

Straits Times 14 Oct 2009
TAIPEI: Taiwan's government has been offering various incentives to encourage couples to have more babies, amid growing concerns that a low fertility rate will lead to a severe manpower shortage that will hurt the island's economy.
With a total fertility rate (TFR) - or the average number of children that would be born to a woman over her lifetime - of 1.0, Taiwan has the lowest fertility rate in the world, said a report by the Washington-based non-profit organisation, Population Reference Bureau, in August.
In comparison, Hong Kong has a fertility rate of 1.1, South Korea 1.2 and Singapore 1.3, according to the bureau.
In 1998, there were 271,450 babies born in Taiwan. Last year, there were only 198,733 births.
If the drop in births continues, Taiwan's economic competitiveness will be affected, leading to a shortage in its workforce as well as a drop in tax revenue.
To help shore up the fertility rate, the Taiwan government announced a fresh slew of incentives last year.
These included increasing childcare subsidies for children below five years old, as well as possible housing subsidies for families with at least three children.
There will also be financial help for young married couples to buy an apartment.

Quality of childcare workers will also be beefed up.
Other measures include promoting flexible working hours and encouraging workplaces to provide childcare services.
Health-care subsidies will also be provided for children from middle and lower income families.
'The aim is to provide a conducive environment for families to have children,' said Mr Liu Pao-min, a section chief with the population statistics department of Taiwan's Interior Ministry.
As part of its overall population policy, the government also aims to attract skilled foreigners to its high-tech sector as well as to help foreign spouses married to Taiwanese settle in more easily, he added.
'Our short-term goal is to ensure that the situation does not deteriorate. The long-term hope is that fertility rates will rise,' said Mr Liu, adding that the goal is to increase TFR to 1.6 by 2015.
Previously, the government had also rolled out incentives like giving paid maternity leave of 56 days.
Unpaid parental leave of up to two years for companies with 30 employees was also offered, but few took it up because of fear of discrimination
Taiwanese have indicated that they want affordable childcare services and more public childcare centres.
They also want childcare subsidies until a child completes primary school education.
More family-friendly measures would also help, they said.
The declining fertility rate has already affected primary and secondary schools in Taiwan, said Mr Liu
There is currently an over-supply of school teachers with fewer students, he said.