Navigating Maternity Leave: How Should Salary Increments Be Handled?

My wife is an employee of a private software company in Ahmedabad, registered under the establishment. She is on 6 months of maternity leave currently, and her increment is due during this maternity leave. She had worked for 9 months in the yearly increment cycle of 2017-18.

Now, I need help to understand the rule, policy, or law for such a case. I mean the increment policy during maternity leave. Should the increment be considered based on 1 year, 9 months, or something else? Please do the needful and oblige.

Understanding Increment in Wage and Salary Administration

"Increment," as the term suggests, is the marginal increase associated with the passage of time. In wage and salary administration, it refers to the periodic raise in the basic wage/salary of employees. This can be part of a componential structure or a particular marginal sum if the pay is consolidated, with or without reference to performance.

The frequency of increment sanction varies from 6 months to one year. Generally, the condition is that the employee should be on duty on the date of increment. In case the employee is on authorized leave, the increment would be granted but with monetary effect from the date of rejoining duty only.

She is eligible on a pro-rata basis only after her rejoining the company.

Dear Colleague, there is no law governing the widely followed practice of giving yearly increments to employees. It is entirely left to the company. The increment generally becomes due upon the completion of one year's service. One of the crucial factors considered is attendance and days worked, together with performance during the year. Your wife has worked for 9 months and proceeded on maternity leave. She has not completed a full one year's service, and it is management's discretion to grant an increment or not, fully or pro-rata, and give it now or after she resumes her duty.

Regards, Vinayak Nagarkar HR Consultant