Secure Health Insurance
Secure Health Insurance
Study on Maternity Benefit Act, 1961
- Author :
- TATA AIG Team
- ●
- Last Updated On :
- 12/12/2024
The Maternity Benefit Act 1961 was a boon for every working female in India. Usually, women have to make compromising decisions between choosing their career and childcare during or after pregnancy. But with this act, they can now balance both and thrive on the personal and professional front.
The act provides all the necessary support to female employees, from maternity leave entitlements to financial assistance. If you are a female worker or an employer, you must read this article to stay informed about the law and its latest amendments.
What Is the Maternity Benefit Act 1961?
The Employment Law Maternity Rights 1961 regulated maternity leave and benefits in India. The act was introduced to provide female employees with comprehensive maternity benefits, including paid leaves, medical bonuses, nursing hours, etc. The act supports female employees and safeguards their source of livelihood while they are welcoming their new baby.
per the act, female employees working in an establishment can take maternity leave of up to six months. These maternity leaves can be divided into periods before or after giving birth to the baby. During this period of leave, employers are obliged to pay them their full salary.
-Features of Maternity Benefit Act 1961
-Leave Duration: Under the act, female employees are entitled to twelve weeks of maternity leave, and no more than six weeks of these leaves may be taken before the due date. This was suggested according to the ILO guidelines at that time.
-Fair Compensation During Leave: Women employees who meet the eligibility criteria for maternity leave, as per the law, are entitled to all maternity benefits. These benefits primarily include payment at the rate of average daily wages for the duration they are away from work.
-Job Security: According to the Maternity Benefit Act 1961 guidelines, it is unlawful for an employer to fire or dismiss a female employee during the absence of maternity leave. However, the employer needs to inform beforehand if the dismissal is due to any serious wrongdoings.
-Financial Benefits: Under the law, every working woman is entitled to maternity benefits and the option to receive medical bonuses from her employer in case the employer does not provide prenatal or postpartum care at no cost to the employee.
Moreover, the employer is responsible for making payments for all debts, including maternity benefits, to the female employee’s nominee or legal representative in the event of her death.
-Also Read: Employee Benefits Program: Types, Importance and Need
Eligibility Criteria of Maternity Leave
The eligibility criteria for maternity leave entitlements is when a woman has been working in an organisation for at least 80 days in the past 12 months.
-Rules for Maternity Leave
Employers need to pay the full salary of the female employee during their maternity leave.
Pregnant women are entitled to workplace amenities such as hygienic restrooms, safe drinking water and comfortable working and seating arrangements. .
Employers should not expect them to do difficult tasks or work for more than 10 hours before the expected delivery date for a female employee.
Employers must provide additional leaves if the employee is unable to return to the office after maternity leave after mutual discussion.
If possible, employers must provide work-from-home flexibility during the pregnancy period to employees through mutual agreement.
Also Read: Employer- Employee Insurance Scheme: Eligibility and Benefits
Maternity Leave Applicability
As per Section 2 and Section 3 of the Maternity Benefit Act 1961, the act is applicable to establishments like factories, mines and plantations. Moreover, the Maternity Benefit Act also applies to government establishments where a person is employed for acrobatic, equestrian and other performances as per Section 2 (b).
The same act is also applicable to every shop or establishment defined under the law, wherein there are ten or more people employed on a day during the preceding twelve months, and it is applicable to shops and establishments in a state.
Every organisation and employer must follow these rules and regulations religiously. Abiding by the law is mandatory, and providing employees with the necessary benefits to maintain harmony in the organisation is ethical.
Employers must remember that employees are an integral part of any organisation’s success.
Provisions of Maternity Benefit Act
The provisions of the Maternity Benefit Act 1961 provide coverage for all working women across the country. It includes working women in hospitals, schools, nursing homes, establishments and women who miscarry. The women who miscarry or get an abortion during the pregnancy are entitled to six weeks of paid leave. But if the woman gives birth before this leave time, then their wages will be paid within 48 hours of presenting the birth certificate.
The act also states that no woman can work in a company for six weeks immediately following the day of delivery or miscarriage. The employer cannot ask the female employee to work during this duration unless requested or consented to by the employed woman.
The provisions also apply to providing employees with all the maternity benefits, including paying them the average daily wages for the time the woman employee was away from work.
Maternity Employment Law 2017- Amendment Act
Since its introduction in 1961, the Maternity Benefit Act has been amended several times. The Maternity Benefit Act 2017 (Amendments) includes some crucial benefits for women employees. Let us have a look at them.
-Increased Number of Maternity Leave
The original act provided 12 weeks of maternity leave. However, after the amendment act in 2017, all women employees are eligible to take 26 weeks of maternity leave. As per the new rule, women can now take 8 weeks of leave before their delivery date and 18 weeks of leave after the delivery.
However, if the woman already has two children, then the maternity leave is only 12 weeks and the same for third and subsequent children.
-Provision for Commissioning and Adoptive Mothers
As per the new amendments to the Maternity Benefit Act, 12 weeks of maternity leave are permitted to the woman who legally adopts a child below the age of three months, and the same goes for the commissioning mother. A commissioning mother is a biological mother whose eggs are used to create an embryo and placed inside another woman.
Remember, this 12 weeks maternity leave starts the day when the child comes to commissioning or adoptive mother.
-Creche Benefits
The 2017 amendments to the maternity employment law also say that childcare services should be near the offices for new mothers with an organisation of 50 or more employees. Moreover, they must be allowed to visit the childcare facility at least once a day, including during the mother’s downtime.
-Work From Home Flexibility
The Amendment Act also states that pregnant employees should be provided with the flexibility to work from home if the nature of their work allows it. Moreover, even after the maternity leave is over, the mother can avail of the work-from-home benefits through mutual discussion with the employer.
-Also Read: Monthly Wages Employee’s Compensation Act, 1923
Final Words
The Maternity Benefit Act 1961 has helped create a safe and better working environment for women employees. It empowers them to work while welcoming motherhood. Moreover, it is an important act that helps women in the workforce to be financially independent in every situation and live life with dignity.
With all the information provided about maternity leave entitlements, applicability and amendments to the act, employees can exercise their rights when required. Additionally, this information is crucial for employers so that they can follow all the necessary laws without any mistakes.
Group Insurance Health Plan’s Importance
Employees are the backbone of any organisation; they are the ones who work for its success. As employers, it becomes crucial for businesses to provide their employees with fair compensation and necessary benefits.
A group mediclaim policy is the insurance that employees need for their protection and prevention from financial strain in case of difficult life scenarios. Group insurance plans are great for employees to get coverage for expenses like doctor’s visits, hospital stays, prescription medicines, surgeries, etc.
With TATA AIG, companies can choose from several SME insurance plans that fit their organisation’s needs. These plans not only protect employees but also help employers comply with their legal obligations.
Frequently Asked Questions
Who is not eligible for maternity leave?
Women who work in an organisation with 10 or fewer employees and self-employed women are not eligible to take maternity leave.
Can maternity leave be extended in India?
Yes, maternity leave in India can be extended. If the mother cannot join the office after maternity leave, the employer can extend the leave after a mutual discussion.
Can employers replace the woman on maternity leave?
No, employers cannot fire, replace or dismiss any female employee during her maternity leave. Moreover, after she returns, she should be given the same position she was working on.
Disclaimer / TnC
Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.