Facing Job Loss During Maternity Leave: How Should I Respond to My Employer's Decision?

I have been working in a limited construction company since 2006. I was on maternity leave, which is going to end on March 21. However, last week, I received a call from my reporting manager informing me that management has decided to eliminate my position because my work has been managed by another teammate. I also received a call from the HR department. Despite my requests, my manager stated that it's a management decision, and he can't assist me.

The following day, the HR department called me, urging me to resign, assuring me that I would receive all my maternity benefits, but emphasizing that there is no job available for me.

Seeking Guidance on Employment Situation

However, I want to keep my job and do not wish to resign. I am confused about why they have decided to terminate my employment, especially since I am a long-term employee. Please guide me on what to do.

During her pregnancy, which is formally communicated, the employer cannot terminate the services of such an employee for any reason whatsoever, particularly when she is on her maternity leave. That's why they insist on your resignation so that it serves the twin purpose of the easy exit of an excess employee and the discontinuation of the maternity benefits post-resignation. So don't yield to their compulsion.

When will your maternity leave period come to a close? Please specify the date.

The act of terminating the service of a female employee during her maternity leave period by the management is illegal and can be challenged in court. The verdict will only favor the female employee. So, do not worry.

Dear Madam, you are legally on a sound wicket. Your termination during a known pregnancy and maternity leave, if it takes place, is patently illegal. The company knows this well, which is why they want to wriggle out by asking you to resign. Please don't oblige them. On the contrary, tell them to pay you full maternity benefits and allow you to resume your work.

Despite this, if they terminate your services, immediately approach the Labour Office of the state government with a written complaint. It may take some time, but ultimately, you will come out as the winner.

Regards, Vinayak Nagarkar HR and Employee Relations Consultant

In my suggestion, you should not resign from your end. Send a reminder to your employer to settle the claim of maternity benefits (MB) that has remained pending at the earliest, as you are experiencing a financial crisis. Do this at regular intervals via mail and speed post. Additionally, inform them that you will resume office upon completion of the MB leave (if you are in a position to do so).

Leave the ball in the employer's court; if they want your resignation, they cannot terminate you during maternity leave. Be prepared to fight with spirit if they attempt to terminate you.

Please let me know if you need any further assistance.

Best regards,
[Your Name]

Thank you for the valuable suggestion. My maternity leave will end in March 2021. Management is ready to provide me with all medical benefits. However, they are insisting that I submit my resignation first, a request which I have already declined. I have also requested two months' advance salary from them, but now they are ignoring me, not answering my calls, and citing that they are awaiting approval. I am prepared to return to work on the 1st of April, but if they do not address my financial concerns, I am willing to take this matter to the labor court.

Dear Neel,

You will be resuming your duties upon the expiration of your maternity leave. Most likely, you fall within the category of a 'workman' under the IDA, 1947, or a 'person employed' under the State S&E Act that is applicable to you. Consequently, even in the scenario of redundancy, your employer is not permitted to terminate your employment or carry out retrenchment without adhering to the relevant provisions of either of the aforementioned Acts.

Should they proceed with such actions, you have the right to seek statutory remedies against the unlawful termination under the provisions of the respective Acts mentioned above. If they propose any negotiations in this matter, do remember that you are eligible for gratuity under the PGA, 1972. Furthermore, as a 'workman' under the IDA, you are entitled to retrenchment compensation at a rate of 15 days of average salary for each completed year of service along with one month's notice pay. Alternatively, if you are not classified as a 'workman' under the IDA, your notice pay will be in accordance with the termination clause outlined in your employment contract or appointment letter.

Should you decide to resign, your entitlement will be limited to statutory gratuity. Additionally, be aware that your employer may demand the notice salary from you. It is advisable to consider all these factors during any negotiations.

Please keep these points in mind while engaging in any discussions.