Netease CEO Calls for Shared Parental Leave

China's Demographic Challenges and Proposed Solutions

Despite the easing of its former one-child policy, China has not achieved its anticipated population growth targets. A significant decline in the birth rate was recorded in 2019, reaching a low point not seen in seven decades. Analysts suggest this downturn is attributable to evolving societal values, the increasing expense of living, and a highly demanding professional environment.

Addressing the Burden on Mothers

Ding Lei, founder and CEO of NetEase – China’s second-largest gaming firm and operator of a prominent music streaming platform – has proposed a key solution to China’s demographic issues: reducing the pressures faced by mothers.

The "Two Sessions" and Policy Proposals

This proposal was presented during China’s annual parliamentary session, which encompasses the meetings of the National People’s Congress (NPC) and the Chinese People’s Political Consultative Conference (CPPCC). Annually in the spring, delegates representing diverse sectors, including political leaders and technology entrepreneurs, convene in Beijing for these legislative meetings, often referred to as the “two sessions.”

Ding Lei is a member of the CPPCC, alongside other prominent tech industry leaders such as Pony Ma of Tencent, Lei Jun of Xiaomi, and Robin Li of Baidu. He emphasized the need to tackle the financial strain of raising children, insufficient maternity leave provisions, limited access to pediatric healthcare, and an inadequate childcare infrastructure – all identified as significant obstacles for women.

Promoting Shared Parental Responsibility

Furthermore, Ding advocated for flexible, shared parental leave options, allowing men to assume greater responsibility in childcare. He argued that the state should contribute to the costs associated with reproduction and that the availability of nursery facilities should be expanded.

Paternity Leave Variations Across Provinces

While many Chinese provinces have implemented paternity leave policies in recent years, the duration and enforcement vary considerably. For instance, Guangdong province, the location of both NetEase and Tencent, provides fathers with up to 15 days of paid leave. Conversely, Shanghai offers a shorter period of 10 days.

However, some experts contend that the current average of one week for fathers is insufficient to meaningfully alleviate the burden on new mothers, who are entitled to a minimum of 98 days of paid maternity leave, with potential for longer durations depending on their location. A representative from NetEase confirmed the company’s family leave policies align with both national and regional regulations.

Gender Representation within Tech Companies

Chinese technology companies occasionally disclose data regarding their gender ratios. NetEase reported in 2019 that women comprised 35% of its 20,000 employees, and approximately 25% of its senior management positions were held by females. Ctrip, an online travel agency known for its employee benefits, stated in 2018 that over 60% of its workforce was female. Alibaba’s founder, Jack Ma, committed in 2019 to ensuring that women constitute more than 33% of the company’s staff.

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