The government launched a subsidy program for parents who had to take time off from work to look after their children when schools were closed because of the novel coronavirus pandemic, but not many parents have been able to use the program.
This is attributable to such issues as companies needing to establish a separate paid-leave system apart from the standard one to allow their employees to utilize the program. With the deadline to apply for the subsidy approaching, the government is going through the relevant entities and is hoping for companies to be more flexible.
-- Monthly income halved
"I was desperate to make ends meet, so I started using my savings," said a 40-year-old woman in Ogaki, Gifu Prefecture, recalling when her two children's schools were forced to close in March because of the coronavirus. She is a single mother with one child in elementary school and one in junior high school.
The woman works at a small factory with about 20 employees. She cannot ask her parents to care for her children because they do not live in the same prefecture, so during the school closures, which lasted through May, she was forced to take the afternoons off from work. Her monthly income dropped to less than 50,000, yen which is below half her usual income.
After learning about the subsidy program, which was created by the government to help parents financially while elementary schools were closed, she asked her company about the program. However, her company gave her a vague answer and said they were not sure whether she would receive the subsidy. She has yet to receive any financial assistance from the program.
The system is designed to give subsidies to companies if they pay for their employees to take time off because of school closures. The Health, Labor and Welfare Ministry, which has jurisdiction over the program, secured a budget of about 172 billion yen after estimating that up to 1.27 million people, including freelance workers, would receive the benefits under the program. However, as of Oct. 16, only about 130,000 cases have been approved in which 31.7 billion yen, or 18% of the budget, has been paid out.
-- Small, midsize firms face difficulty
One factor behind the sluggish use of the subsidy program is the time and effort required by the companies.
To allow employees with children to take advantage of this program, companies need to give them a separate paid leave apart from their regular annual paid holidays. The ministry has taken this step to prevent workers from using their regular paid holidays in respond to the closure of schools. But companies are required to change their employment policies and establish internal regulations.
A 41-year-old man from Ota Ward, Tokyo, has doubts about the design of the subsidy program. His wife, a nurse, had to take a two-month leave of absence to take care of their young children, but the hospital where she works said, "We are too busy to deal with that."
He said, "As the system prioritizes companies [over its employees], the subsidy won't reach those who really need it."
On the other hand, a 57-year-old president of a manufacturing company in Saitama Prefecture said: "It may be possible for large companies, but it takes time and money for small and midsize companies to review their regulations. This system poses a lot of challenges."
-- Feelings of unfairness spread
According to lawyer Chikara Shimasaki, who is familiar with this subsidy program, some employers have not used the program out of concern that other employees might find it unfair.
After working parents on social media called for the system to be improved, more than 1,200 people signed a petition asking the ministry to allow employees to directly apply for the subsidy themselves.
However, the application deadline for the subsidy is set for the end of December to recoup the losses incurred because of school closures through late September, and if companies fail to act, they will not be able to apply before time runs out. The ministry has asked the Japan Federation of Labor and Social Security Attorney's Associations to help companies further understand the subsidy program.
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