How to Handle Maternity Benefits for Pregnant Employees During Factory Closure?

Dear Professionals,

We are in a garment factory in Chennai and will be closing down one unit from 1st June 2017. There are two females who are pregnant, and if we close, the settlement will be released, but there will be no ESI for them if they continue. If they decide to fight with us for maternity benefits, what is the procedure? Additionally, a new company will be taking over from July 2017.

Please suggest.

Regards,
Vijayalakshmi J

The benefit period for a contribution period continues. Please check with the local office to determine whether females will receive maternity benefits. If there is going to be a gap, it is advisable that you rectify it promptly.

The ESIC rule states that any treatment that has been initiated will be continued despite stopping contributions. This rule generally applies to those who leave their job or are terminated during their treatment. Therefore, it applies to you. Please verify whether pregnancy benefits also continue in a similar manner.