Maternity and Parental Leave Compensation Practices

Around the World and in Georgia

Maternity and Parental Leave Compensation Practices Around the World and in Georgia


Author: Tinatin Chuguashvili / Senior Associate


Maternity and parental leave have become essential components of modern social policy, aimed at supporting families following the birth of a child, safeguarding the health and well-being of both mother and child, and promoting a better balance between professional and family life. 

The duration of leave, compensation mechanisms, and sources of funding vary significantly across countries, reflecting differing social priorities and economic policies.

 

International Approaches to Maternity and Parental Leave 

Globally, three main types of leave are commonly recognized: 

Maternity Leave - granted to mothers during pregnancy and childbirth

Paternity Leave - provided to fathers following the birth of a child

Parental Leave - available to either parent for the purpose of caring for a child.

 

European Experience 

European countries have developed some of the most comprehensive maternity and parental leave systems in the world. 

Sweden, for example, offers parents approximately 480 days of paid parental leave, which may be shared between both parents. Finland and other Nordic countries place particular emphasis on fathers’ involvement in childcare by reserving a portion of leave exclusively for fathers. In Spain, paid paternity leave extends to 16 weeks, making it one of the most generous schemes globally.

 

OECD Averages

According to data from the Organisation for Economic Co-operation and Development (OECD), the average duration of paid maternity leave among member countries is approximately 18 weeks. Paid paternity leave averages between two and three weeks, while additional parental leave may extend to an average of 39 weeks.

 

Compensation Models

Countries employ different approaches to financing maternity and parental leave, including:

  • Full salary replacement, as practiced in countries such as Norway and Spain
  • Partial compensation, typically ranging from 60% to 80% of an employee’s salary
  • Fixed state benefits, where compensation is not linked to previous earnings
  • Mixed models, under which the costs are shared among the state, social insurance funds, and employers.

 

The United States: A Different Approach

The United States remains an exception among developed economies, because it does not provide a universal paid maternity or parental leave scheme at the federal level. While certain employees are entitled to job protection during family-related leave, paid benefits largely depend on state legislation or individual employer policies.

 

Maternity and Parental Leave in Georgia

In Georgia, maternity and parental leave are regulated by the Labour Code of Georgia.

 Under the current legislation: 

  • Female employees are entitled to 126 calendar days of paid maternity leave
  • In cases of childbirth complications or multiple births, the duration of paid leave increases to 143 calendar days
  • The total duration of parental leave may reach 604 calendar days, part of which is paid.

Compensation for maternity leave in Georgia is primarily provided by the state in the form of a one-time benefit, the amount of which is periodically determined by relevant legislation. In practice, however, a mixed compensation model is widely used, with many private employers maintaining full or partial compensation through their payroll systems, in addition to the state benefit.

Georgian legislation also grants fathers the right to use a portion of parental leave. This approach aligns with international trends aimed at encouraging the active involvement of both parents in childcare responsibilities.

International experience demonstrates that an effective maternity and parental leave system extends beyond supporting mothers alone and increasingly focuses on the involvement of both parents in raising children. Many developed countries offer long and well-compensated parental leave schemes, contributing to child welfare, women’s participation in the labour market, and greater gender equality. 

Georgia’s legislation provides relatively extensive parental leave entitlements in terms of duration. In recent years, state support has increased, while legislative changes have also strengthened fathers’ rights by allowing them to request and make use of parental leave, encouraging a more balanced distribution of childcare responsibilities within families.

 Mariam Gogichashvili

Mariam Gogichashvili

Manager, Payroll Outsourcing
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