Pl.read the discussion on the subject in this link-
https://www.citehr.com/225419-amount...nfits-act.html
The thumb rule for this calculation is-
There could be some hitches in calculating the average wages - the section reads ...
..."..the payment of maternity benefit at the rate of the average daily wage for the period of her actual absence immediately preceding and including the day of her delivery and for the six weeks immediately following that day"..
And when we discuss average of last 3 months preceding the ML there could be doubt about abnormal payments due to OT wages, incentives(production/performance linked), arrears for past periods etc. which might vitiate the computation of average wage. In order to avoid confusion in this respect for average wages one has to take into a/c the normal rate of salary/wages she could have been paid had she continued on duty. This should eliminate abnormal payouts which are linked to performance, extra hours at actual basis not normally paid month on month.
https://www.citehr.com/225419-amount...nfits-act.html
The thumb rule for this calculation is-
There could be some hitches in calculating the average wages - the section reads ...
..."..the payment of maternity benefit at the rate of the average daily wage for the period of her actual absence immediately preceding and including the day of her delivery and for the six weeks immediately following that day"..
And when we discuss average of last 3 months preceding the ML there could be doubt about abnormal payments due to OT wages, incentives(production/performance linked), arrears for past periods etc. which might vitiate the computation of average wage. In order to avoid confusion in this respect for average wages one has to take into a/c the normal rate of salary/wages she could have been paid had she continued on duty. This should eliminate abnormal payouts which are linked to performance, extra hours at actual basis not normally paid month on month.