An increasing number of Malaysian women are pursuing higher education and joining the workforce, leading to a decline in birth rates, according to economists.
To address this issue, economists suggest improving amenities for working mothers.
“More women are focusing on their education, which delays marriage and childbirth as they advance in their careers,” said Assoc Prof Dr Ida Yasin from Putra Business School.
Her remarks follow a Statistics Department report indicating that the number of live births in the first quarter of this year was lower than the same period last year.
Chief statistician Datuk Seri Dr Mohd Uzir Mahidin reported a 9.4% decrease in live births for the first quarter, with 106,386 births compared to 117,413 births last year.
In 2021, women made up 51.9% of the workforce, surpassing men’s 48.1% share, according to the department.
Ida noted that while many government agencies offer childcare services, the private sector still lacks such amenities.
“Encouraging private sector companies to provide workplace childcare centers could help career women balance work and motherhood,” she said, adding that increasing maternity and paternity leave could also help.
Since January 2023, maternity leave has been extended from 60 to 98 days, with men receiving seven days of paternity leave.
Ida also cited financial constraints as a reason for the lower birth rate, especially in cities where inflation is higher.
“There are limited studies on why couples delay or choose not to have children. Financial burdens might be a factor, but other reasons could also be at play,” she said.
Socio-Economic Research Centre executive director Lee Heng Guie agreed, citing economic growth, improved education, better healthcare, and changing social norms as contributing factors.
“Concerns about the high cost of living and parenting, along with a trend towards prioritizing work over family, are also impacting birth rates,” Lee said.
Both experts warned that a declining birth rate could reduce national productivity as the population ages.
Lee pointed out that with fewer people entering the workforce, the labor participation rate could drop, affecting national output and productivity. “This could also lead to higher healthcare costs, increased budget spending, and lower tax revenue as fewer young people contribute to supporting an aging society,” he added.
A shrinking pool of young talent might also force Malaysia to rely more on foreign labor, Ida said. “We have seen this in other developed countries like Singapore, Japan, and South Korea, where lower fertility rates have led to an increased need for migrant workers to maintain productivity,” she added.
