Riisalo, a member of the endorsing Reform Party board, said the move aims to offset early-career income losses and improve young parents' financial security prospects.

With the proposal calling for a roughly 10 percent increase in parental benefits, she said the measure would affect about 4,000 parents and cost the state roughly €4 million.

"The exact details are still being worked out," the committee chair added, noting that the measure itself still needs to be drafted.

Riisalo said Estonian family policy has long focused on supporting the birth of families' second and third children, assuming their first child would be born regardless of state measures. But circumstances have changed.

Across Estonia and Europe, young people are postponing parenthood, partly due to economic uncertainty and worries about reduced income.

"Even having a child at all is no longer taken for granted and requires greater security than before," she acknowledged.

Coalition support or election campaign platform

Riisalo said the state must create an environment where young people who want to start a family don't have to choose between work, income and family. Research shows parental benefits have long supported having children, she added, but they must now reflect families' changing needs.

Implementation of the committee proposal, however, will depend on coalition support.

The Social Affairs Committee chair said if the proposal doesn't advance sooner, it will be included in the Reform Party's Riigikogu campaign platform for next year.

"But we will also consult with Eesti 200," Riisalo added. "If we can come to an agreement, we can also speed up the process."

Eesti 200 slams plan for sidelining older parents

MP and Eesti 200 parliamentary group chair Toomas Uibo criticized Reform's initiative, saying it's unclear why Reform's party board "values Estonians 29 and older less when having their first child."

He added that money alone won't encourage people to have kids; what young families want is state support and a safe environment to raise them in.

Instead, Eesti 200 favors boosting benefits for one- and two-child households regardless of how old their parents are, improved funding for extracurriculars and raises for teachers and instructors.

"We've long proposed extending eligibility for claiming parental benefits through a child's eighth birthday," Uibo added, noting that their party sees these measures as much more effective for boosting birth rates.

He also criticized Reform for pitching the benefit hike before saying where the funding for it would come from.

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