Maternity Benefit Act, 1961: Objectives, Provisions, Impact and Challenges

What is Maternity Benefit Act, 1961 ?

The Maternity Benefit Act, 1961, is a landmark in Indian labor legislation, prioritizing the rights and welfare of working women during pregnancy and post-childbirth. In this comprehensive analysis, we delve into the historical context, objectives, and critical provisions of this act. The act reflects India’s commitment to safeguarding female workers’ employment rights during maternity. The Maternity (Amendment) Bill 2017, effective from April 1, 2017, introduced crucial changes, emphasizing the Act’s support for working mothers.

Key Takeaways:

• The act applies to all establishments where there are more than 10 or more female employees who have worked for at least 80 days in the 12 months preceding their expected date of delivery.
• It is required to provide a creche facility where there are 50 or more female employees, and the woman is allowed to visit the creche four times a day.
• The act includes adopting mothers and granting them 12 weeks of maternity leave.

Objectives of the Maternity Benefit Act, 1961

• Maternity Leave: The Act mandates that a woman employee is entitled to maternity leave for a specified period before and after childbirth. The duration of maternity leave is generally 26 weeks, which includes eight weeks before the expected delivery date and eighteen weeks after childbirth.
• Payment during Maternity Leave: The Act requires employers to pay the woman employee during the maternity leave period.
• Medical Bonus: The Act provides for a medical bonus to women employees in addition to maternity leave. It is intended to cover medical expenses related to pregnancy and childbirth.
• Prohibition from Work: During the maternity leave period, the employer is not allowed to assign any work that is strenuous or involves long hours or standing, which may adversely affect the health of the woman or the child.
• No Dismissal during Maternity Leave: The Act prohibits the dismissal of a woman employee during the period of her maternity leave. It ensures job security for women during the crucial period of pregnancy and childbirth.
• Right to Return to Work: The Act guarantees the right of a woman employee to return to the same position or an equivalent position with the same pay and benefits after the completion of her maternity leave.
• Facilities for Nursing: The Act recommends that employers provide facilities for nursing mothers to feed their infants. This includes providing a creche facility if the establishment has a certain number of women employees.
• Informing Women about Maternity Benefits: Employers are required to inform women employees about the benefits available under the Maternity Benefit Act, and they must display information related to maternity benefits in a conspicuous place at the workplace.

Key Provisions of the Maternity Benefit Act, 1961

Section 4: Employment Restrictions

• Prohibits employing or working women for six weeks post-childbirth.
• Restricts demanding arduous work during pregnancy.

Section 5: Payment of Maternity Benefit

• Eligibility: Woman with 160 days of work in 12 months.
• Benefit Amount: Average daily wage for the preceding and following six weeks.

Section 7: Payment in Case of Death

Ensures payment to the nominee or legal representative in case the woman dies.

Section 8: Medical Bonus

• Eligibility: Every entitled woman.
• Payment: ₹1,000 if no pre-natal confinement and post-natal care is provided.

Section 9: Leave for Miscarriage

• Eligibility: Woman experiencing a miscarriage.
• Duration: Six weeks with prescribed proof.

Section 10: Leave for Illness

• Eligibility: Woman with illness from pregnancy-related conditions.
• Duration: Maximum one month with prescribed proof.

Section 11: Nursing Breaks

• Two breaks for nursing until the child is 15 months old.
• Duration and conditions prescribed by authorities.

Impact of the Maternity Benefit Act, 1961

• Increased Female Workforce: Boosts women’s confidence in pursuing careers.
• Improved Maternal Health: Provides proper medical care and rest.
• Enhanced Child Health: Supports breastfeeding and quality childcare.
• Reduced Discrimination: Diminishes workplace discrimination against pregnant women.
• Cultural Shift: Contributes to a cultural shift valuing motherhood and gender equality.

Challenges and Criticisms of the Maternity Benefit Act, 1961

• Exclusion of Sectors: Limited coverage excludes informal and self-employed sectors.
• Duration of Maternity Leave: Some argue for an extension beyond the mandated 12 weeks.
• Economic Burden: Small businesses may find compliance financially burdensome.
• Limited Awareness and Enforcement: Increased awareness and strict enforcement are needed.

Maternity Policies under Maternity Benefit Act

India, in its pursuit of women’s empowerment and workplace equality, has enacted specific legislation to address maternity-related concerns. The Maternity Benefit Act, 1961, is a pivotal piece of legislation that aims to provide women employees with maternity benefits and job security during pregnancy and childbirth. Simultaneously, the Companies Act, 2013, governs the functioning of companies and plays a significant role in shaping corporate policies, including those related to employee welfare.

1. Interplay between the Maternity Benefit Act and Companies Act

• Employee Welfare Policies: The Companies Act emphasizes Corporate Social Responsibility (CSR), encouraging companies to formulate policies that benefit employees. Maternity benefits fall within the purview of such policies.
• Disclosures and Reporting: Companies are required to disclose their CSR policies and activities in their annual reports under the Companies Act. This includes initiatives supporting maternity benefits and the well-being of female employees.

2. Impact on Corporate Culture

Compliance with the Maternity Benefit Act contributes to fostering a positive corporate culture. It reflects a commitment to employee welfare, enhancing the company’s reputation and attractiveness as an employer.

3. Board Composition

The Companies Act,2013 mandates certain compositions for boards, including the appointment of independent directors. Boards, in their oversight role, may address issues related to gender diversity and maternity benefits.

4. Challenges and Solutions

• Awareness and Implementation: Despite legal provisions, the challenge lies in ensuring widespread awareness and effective implementation. Companies need to prioritize disseminating information and fostering a culture that supports maternity benefits.
• Integration with CSR Initiatives: Aligning maternity benefit programs with broader CSR initiatives enhances their impact. Companies can integrate initiatives supporting maternal health and child care into their CSR frameworks.

Conclusion

The Maternity Benefit Act, 1961, has significantly advanced gender equality and maternal health. While successes are notable, addressing challenges such as sectoral exclusions, leave duration, economic impact, and awareness is crucial. Continued efforts and reforms can further strengthen the act’s role in promoting the rights and well-being of working mothers, fostering a more equitable and healthier society.

Maternity Benefit Act, 1961- FAQs

Who is eligible under the Maternity Benefit Act, 1961?

The act applies to women who have worked for at least 160 days in the 12 months preceding their expected delivery.

What is the maximum duration of maternity benefit?

A woman is entitled to maternity benefits for a maximum period of 12 weeks, including six weeks before and six weeks after delivery.

Are there provisions for nursing breaks?

Yes, every woman who has given birth is entitled to two breaks during her workday for nursing until the child is 15 months old.

What happens in case of the death of a woman entitled to maternity benefits?

The benefit is paid to the nominee or legal representative mentioned in the notice given under Section 6.

Is there a medical bonus provision in the Maternity Benefit Act?

Yes, every woman eligible is entitled to ₹1,000 if no pre-natal confinement and post-natal care is provided.

What is the eligibility for leave in case of miscarriage?

A woman who experiences a miscarriage is eligible for six weeks of paid leave.

Is there any additional leave for illness arising from pregnancy?

Yes, a woman suffering from illness arising from pregnancy, delivery, premature birth, or miscarriage is eligible for an additional one-month leave.

How has the Maternity Benefit Act impacted society?

The act has increased female workforce participation, improved maternal and child health, reduced discrimination, and contributed to a cultural shift valuing motherhood.

What are the criticisms of the Maternity Benefit Act?

Criticisms include the exclusion of informal sectors, the limited duration of maternity leave, the economic burden on employers and the need for better awareness and enforcement.

What changes were introduced by the Maternity (Amendment) Bill 2017?

The Amendment Act, effective from April 1, 2017, introduced changes such as creche facilities, supporting the act’s commitment to working mothers.

References:

• Ministry of Labour & Employment
• Chief Labour Commissioner (Central)
• International Labour Organization

Note: The information provided is sourced from various websites and collected data; if discrepancies are identified, kindly reach out to us through comments for prompt correction.