Navigating Maternity Benefits: What Happens When ESIC Deductions Stop After a Salary Increase?

manucool52
One of our employees working in Goa in the hotel industry has been contributing to PF/ESIC since September 1, 2014. She was recently promoted, and her salary was increased to ₹23,000. Her ESIC deduction stopped from May 1, 2018, and now she is pregnant.

1) Will she receive any maternity benefits from ESIC?
2) What are the employer's responsibilities regarding her maternity leave and payments?
Srinath Sai Ram
Dear Manu,

As per your statement, the employee's ESI contributions stopped from 1/5/2018. Please note that contributions should be remitted until the completion of the contribution period, i.e., till 30/09/2018 (if April 2018 contributions are remitted).

Kindly ask the employee to log in to the ESI IP Portal to check eligibility for maternity benefits. If eligible, she can choose to avail of benefits from ESI. If she is not eligible for benefits from ESI, the employer must provide benefits as per The Maternity Benefit Act, 1961.

Thank you.
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