Sumitomo Mitsui Banking Corp to make 1-month paternity leave mandatory

Sumitomo Mitsui Banking Corp will mandate one month of paternity leave for employees starting in October to boost childcare participation and enhance working conditions. The bank will offer a bonus of 50,000 yen to both employees on leave and their coworkers if business operations remain steady during absences.

Despite achieving a 100% paternity leave uptake in 2023, the average leave duration was only 12 days, far below the goal of 30 days.The policy targets employees with children under 2 years old, aiming to challenge gender stereotypes by normalizing men's participation in childcare.

This initiative follows a trend where companies incentivize coworkers of those on parental leave, addressing workload fairness.A recent government survey noted that 40.5% of fathers took paternity leave in 2024, compared to 86.6% of mothers on maternity leave.