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I am running a small IT Private Limited company with a team of 15 employees. Do I compulsorily need to provide paid maternity leave? If yes, what is the duration of the leave, and during that period, should I provide only the basic salary or the full salary? Can I create a contract where some percentage of her salary is paid when she returns to the company to ensure the employee comes back and does not leave after delivery? Please help.
From India, Ahmedabad
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Since IT/ITES companies fall under the State Shops and Establishments Act, and you have 15 employees on the roll, the Maternity Benefit Act of 1961 applies to your establishment as per sec. 2(1)(b) of the Act. Therefore, it is your statutory responsibility to grant maternity benefits for a maximum period of 26 weeks (leave with full wages/salary last drawn) and a medical bonus under section 8. No, it is an unconditional employment benefit in recognition of motherhood.
From India, Salem
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