Former Employee Claims Maternity Benefits 8 Months After Leaving – How Should We Respond?

Hi All,

One of our ex-employees worked with us for only 3 months and then left. She said she cannot continue due to her illness and then took her full and final amount without a formal resignation. There was no formal intimation about pregnancy during her employment or when she left.

Now, after 8 months, she has sent a letter claiming her maternity benefits. Since she is no longer an employee and is claiming undue benefits, what can we do? Please guide.

Right to Payment of Maternity Benefit

Section 5, subsection (2) reads as follows: No woman shall be entitled to maternity benefit unless she has actually worked in an establishment of the employer from whom she claims maternity benefit, for a period of not less than eighty days in the twelve months immediately preceding the date of her expected delivery. The Maternity Benefits Act 1961 is a welfare legislation with the intention to look after women.

The one solid fact that can be in your favor is her accepting full and final payment and leaving the organization. I hope adequate documentary evidence of her quitting the job is available. In my opinion, the lady is not entitled to maternity benefits based on the information provided by you. The date of her joining, leaving, and delivery will be crucial facts. She is probably advised to claim as she has worked more than 80 days in the last twelve months.

Please consult your labor law adviser before sending any reply.

Treating her case as one of resignation when she states that she cannot continue, she provided only 90 days of service, whereas she should have worked for 180 days in a year and should have been in continuous service except for maternity leave under section 5(2) of the Maternity Benefit Act. Consequently, she has not met two essential conditions and is therefore not eligible for these benefits.

Thanks,
Sushil

In some sites, the number of days appears to be 180 days, but the latest amendment states it is 80 days as mentioned by Mr. Nathrao. However, the other condition has not been complied with as required. Please refer to the case of Dr. Sheela v The Principal decided in 2009 by Kerala High Court.

Thanks,
Sushil

Thank you all for the prompt reply. The issue at hand is that we do not yet have her formal resignation. However, she has accepted the cheque for Full & Final settlement (No dues).