Yes. Though it's for govt sector, it can be practised by Pvt co also depending on the budget allocation. If not Gross, Basic wages alone can be paid.This is also a method to retain them. If an experienced senior lady employee goes on maternity leave, the company can look into it from this point of view. I have done this in my company by paying full salary with usual statutory deduction.
It all depends on the company's perspective and the respect that a HR commands from the management.
Regards
Chandru