Adoptive mothers can claim equal maternity benefits, say analysts

Law in India, however, does not provide for paternity leave

Recently, many questions were raised on social media regarding why Twitter Chief Executive Officer Parag Agrawal had availed of only a small portion of the 20-week paternity leave his company offers. US laws offer paid leave to new parents although the quantum varies from one state to another.

In India, the law doesn’t provide for paternity leave.

Prashant Singh, vice-president and business head-compliance and payroll operations, TeamLease Services, says, “The Maternity Benefit Act, 1961, doesn’t offer paternity leave. If companies offer it, it’s according to their wishes. Only new mothers are entitled to benefits under the Maternity Benefit Act, 1961.”

Leave increased

The amendment of 2017 to this Act increased the amount of leave offered to women.

Singh says, “Maternity leave has been raised to 26 weeks and the prenatal leave has been extended from six to eight weeks.”

A woman who already has two or more children is entitled to 12 weeks’ maternity leave. Prenatal leave for her remains six weeks.

 

Wages must be paid

Section 5 of the Act specifies that women claiming maternity benefits must be paid their average daily wages while they are on leave. Wages include cash and dearness allowance, incentives, bonuses, and concessions on food and other articles provided by the employer. 

Aditya Chopra, managing partner, Victoriam Legalis-Advocates & Solicitors, says, “In no event can an employer deduct the wages of a woman employee who avails of maternity benefit, because of the nature of work assigned to her, breaks taken to nurse her child, or any other reason attributed to her maternal and post-delivery health or status. Such deductions will violate the applicable laws.”

Moiz Rafique, managing partner, Privy Legal Service LLP, adds, “Payment during the leave period is based on the average daily wage for the period of actual absence.”

A woman must have worked as an employee in an establishment for at least 80 days during the past 12 months to be entitled to benefits under the Act.

Benefits on adopting a child

Earlier, women adopting children were not entitled to any maternity leave. The 2017 amendment extended the benefit to them as well.

Sameer Jain, managing partner, PSL Advocates & Solicitors, says, “The lack of maternity benefit discouraged women from adopting children. It was also a form of disrespect to their motherhood. According to science, children under the age of three months who have been adopted require intensive attention.”

Leave for miscarriage

In case of miscarriage, a woman on production of proof is entitled to leave with wages, at the rate of maternity benefit.

Chopra says, “The key point here is that a woman will be entitled to additional leave of up to one month, apart from her maternity leave.”

Work from home

The amendment also allowed women to work from home. This option can be exercised after the 26-week maternity leave has expired.

Samir Malik, partner, DSK Legal, says, “However, the nature of work must be such that a woman employee can work from home for such a period, and on such conditions as the employer and the woman may mutually agree upon.”  

Plan your finances well

Between marriage and starting a family, young couples must save diligently and build a corpus. They must purchase essential insurance covers.

If it appears likely that the woman may have to stop working after the baby’s arrival and the family could go from double- to single-income status, they must think twice before taking a home or a car loan.

Once the baby arrives, expenses grow.

Pankaj Mathpal, managing director, Optima Money Managers, says, “Try to curb non-essential expenses.”

He suggests that women should try to work part-time or take on freelance assignments instead of stopping work entirely. In case freelance activities are not possible in the same field, they may even consider learning new skills.