In a significant step towards gender equality in the workplace, Sumitomo Mitsui Banking Corporation has rolled out a policy making one month of paternity leave mandatory for its male employees. This major development in Japan's stiff corporate culture aims to bolster female participation in the country's workforce by balancing out parenting responsibilities. The move is also aimed at tackling Japan's declining birthrate by promoting a family-friendly working environment.

Work-life balance, particularly for men, has always been a major concern in Japan's rigorous work culture. Oftentimes, the burden of parenting falls predominantly on the women, leading to a gender gap in the workforce. This new policy is being viewed as a major step towards gender equality, encouraging shared parental responsibilities, and is expected to be well-received.

While mandatory paternity leave is an unusual development in Japan, several countries in the EU such as Sweden and Norway already have progressive parental leave policies, which include substantial paternity leave. In the US, the Family and Medical Leave Act allows qualified workers to take up to 12 weeks of unpaid leave, but there is no federally mandated paid paternity leave.