Maternity Leave Dilemma: Should We Pay the 6th Month Salary Now or After Return?

Our employee has taken maternity leave for six months. We have paid 5 months' salary and have held her 6th month salary. Shall we pay the 6th-month salary after she returns to work and completes one month? Are there any laws regarding this, or do we have to pay in the exact month?

Dear Udhay,

Your query relates to section 6(5) of the Maternity Benefit Act, 1961, which may be read as follows:

Sec. 6. Notice of claim for maternity benefit and payment thereof

Sub sec. (5) The amount of maternity benefit for the period preceding the date of her expected delivery shall be paid in advance by the employer to the woman on production of such proof as may be prescribed that the woman is pregnant, and the amount due for the subsequent period shall be paid by the employer to the woman within forty-eight hours of production of such proof as may be prescribed that the woman has been delivered of a child.

From the above, it is clear that we are required to pay the amount due for the subsequent period within forty-eight hours of production of such proof as may be prescribed that the woman has been delivered of a child. In this position, you are not in a position to hold the salary of six months.

R N KHOLA

Dear Team,

I need your advice on the amendment in maternity, wherein the maternity leave has been extended from 12 weeks to 24 weeks. We have adopted the same policy in our company as well. However, I need guidance on the payment under the maternity act.

Do we have to pay the full salary for the 6-month leave to the employee going on maternity, or is it half pay? Also, do we have to include the tax-free reimbursement in the salary payment to the employee?

Regards,
Ruchika