diff --git a/docs/labwc-config.5.scd b/docs/labwc-config.5.scd
index 08c7aef6..c37dddc2 100644
--- a/docs/labwc-config.5.scd
+++ b/docs/labwc-config.5.scd
@@ -132,6 +132,13 @@ this is for compatibility with Openbox.
 	be used with labwc the preferred mode of the monitor is used instead.
 	Default is no.
 
+## PLACEMENT
+
+*<placement><policy>* [center|cursor]
+	Specify a placement policy for new windows. The "center" policy will
+	always place windows at the center of the active output. The "cursor"
+	policy will center new windows under the cursor. Default is "center".
+
 ## WINDOW SWITCHER
 
 *<windowSwitcher show="" preview="" outlines="">*
diff --git a/docs/rc.xml.all b/docs/rc.xml.all
index 7c59660a..96439dc9 100644
--- a/docs/rc.xml.all
+++ b/docs/rc.xml.all
@@ -14,6 +14,10 @@
     <reuseOutputMode>no</reuseOutputMode>
   </core>
 
+  <placement>
+    <policy>center</policy>
+  </placement>
+
   <!-- <font><theme> can be defined without an attribute to set all places -->
   <theme>
     <name></name>
diff --git a/include/config/rcxml.h b/include/config/rcxml.h
index 62cc5a15..b6a116da 100644
--- a/include/config/rcxml.h
+++ b/include/config/rcxml.h
@@ -20,6 +20,11 @@ enum window_switcher_field_content {
 	LAB_FIELD_TITLE,
 };
 
+enum view_placement_policy {
+	LAB_PLACE_CENTER = 0,
+	LAB_PLACE_CURSOR
+};
+
 struct usable_area_override {
 	struct border margin;
 	char *output;
@@ -40,6 +45,7 @@ struct rcxml {
 	int gap;
 	bool adaptive_sync;
 	bool reuse_output_mode;
+	enum view_placement_policy placement_policy;
 
 	/* focus */
 	bool focus_follow_mouse;
diff --git a/include/view.h b/include/view.h
index a3dd9cb0..bef7afea 100644
--- a/include/view.h
+++ b/include/view.h
@@ -393,6 +393,13 @@ void view_store_natural_geometry(struct view *view);
  * within; if NULL, view is centered within usable area of its output
  */
 void view_center(struct view *view, const struct wlr_box *ref);
+
+/**
+ * view_place_initial - apply initial placement strategy to view
+ * @view: view to be placed
+ */
+void view_place_initial(struct view *view);
+
 void view_restore_to(struct view *view, struct wlr_box geometry);
 void view_set_untiled(struct view *view);
 void view_maximize(struct view *view, enum view_axis axis,
diff --git a/src/config/rcxml.c b/src/config/rcxml.c
index efd6122f..5ff069ef 100644
--- a/src/config/rcxml.c
+++ b/src/config/rcxml.c
@@ -703,6 +703,12 @@ entry(xmlNode *node, char *nodename, char *content)
 		set_bool(content, &rc.adaptive_sync);
 	} else if (!strcasecmp(nodename, "reuseOutputMode.core")) {
 		set_bool(content, &rc.reuse_output_mode);
+	} else if (!strcmp(nodename, "policy.placement")) {
+		if (!strcmp(content, "cursor")) {
+			rc.placement_policy = LAB_PLACE_CURSOR;
+		} else {
+			rc.placement_policy = LAB_PLACE_CENTER;
+		}
 	} else if (!strcmp(nodename, "name.theme")) {
 		rc.theme_name = xstrdup(content);
 	} else if (!strcmp(nodename, "cornerradius.theme")) {
@@ -949,6 +955,8 @@ rcxml_init(void)
 	}
 	has_run = true;
 
+	rc.placement_policy = LAB_PLACE_CENTER;
+
 	rc.xdg_shell_server_side_deco = true;
 	rc.ssd_keep_border = true;
 	rc.corner_radius = 8;
diff --git a/src/view.c b/src/view.c
index 58d77e10..232e1dca 100644
--- a/src/view.c
+++ b/src/view.c
@@ -678,6 +678,17 @@ view_center(struct view *view, const struct wlr_box *ref)
 	}
 }
 
+void
+view_place_initial(struct view *view)
+{
+	if (rc.placement_policy == LAB_PLACE_CURSOR) {
+		view_move_to_cursor(view);
+		return;
+	}
+
+	view_center(view, NULL);
+}
+
 static void
 view_apply_natural_geometry(struct view *view)
 {
diff --git a/src/xdg.c b/src/xdg.c
index 713eccd1..638e111b 100644
--- a/src/xdg.c
+++ b/src/xdg.c
@@ -1,4 +1,5 @@
 // SPDX-License-Identifier: GPL-2.0-only
+
 #include <assert.h>
 #include "common/macros.h"
 #include "common/mem.h"
@@ -409,19 +410,18 @@ position_xdg_toplevel_view(struct view *view)
 	struct wlr_xdg_toplevel *parent_xdg_toplevel =
 		xdg_toplevel_from_view(view)->parent;
 
-	if (!parent_xdg_toplevel) {
-		view_center(view, NULL);
-	} else {
-		/*
-		 * If child-toplevel-views, we center-align relative to their
-		 * parents
-		 */
+	if (parent_xdg_toplevel) {
+		/* Child views are center-aligned relative to their parents */
 		struct view *parent = lookup_view_by_xdg_toplevel(
 			view->server, parent_xdg_toplevel);
 		assert(parent);
 		view_set_output(view, parent->output);
 		view_center(view, &parent->pending);
+		return;
 	}
+
+	/* All other views are placed according to a configured strategy */
+	view_place_initial(view);
 }
 
 static const char *
diff --git a/src/xwayland.c b/src/xwayland.c
index 0c44b7c7..86f7a1ae 100644
--- a/src/xwayland.c
+++ b/src/xwayland.c
@@ -517,7 +517,7 @@ set_initial_position(struct view *view,
 		}
 	} else {
 		if (view_is_floating(view)) {
-			view_center(view, NULL);
+			view_place_initial(view);
 		} else {
 			/*
 			 * View is maximized/fullscreen. Center the