So what? I did not say that wages include PF payable by the EMPLOYER. I meant to say that when you pay salary to a woman who is on maternity leave, the salary should be the sum after deducting PF, that is the employee's share of PF.
Now you are showing me the definition of wages under the Maternity Benefit Act. Where is it written that wages should be paid without deducting the employee's share of PF? There is no dispute that wages mean the amount payable in gross and this should not include employer's statutory contributions like bonus, Employer's share of PF, gratuity, etc. If all these are included, it would become the Cost to Company or the so-called CTC.
Madhu.T.K
From India, Kannur
Now you are showing me the definition of wages under the Maternity Benefit Act. Where is it written that wages should be paid without deducting the employee's share of PF? There is no dispute that wages mean the amount payable in gross and this should not include employer's statutory contributions like bonus, Employer's share of PF, gratuity, etc. If all these are included, it would become the Cost to Company or the so-called CTC.
Madhu.T.K
From India, Kannur
Hi,
Recently, my wife delivered in the month of August '17. She works for FORTIS Hospital and has been attached to ESI since Feb '17. All documents were submitted to the HR team, and they said all payments will be made by ESI. The company does not pay any benefits; every claim should be made through ESI.
We visited the ESI office and found out that hospital expenses will be paid but not the salary due to the clause that any employee attached to ESI should complete 9 months to claim the maternity salary benefits; however, hospital expenses can be claimed.
Then we informed the HR team about the issue, and they said, in this case, we can't help if ESI does not pay; then it will be considered a loss of pay, and we should report to work after 6 months.
Kindly advise on the solution in this scenario.
Regards,
Ranganath
Bangalore
From India, Bengaluru
Recently, my wife delivered in the month of August '17. She works for FORTIS Hospital and has been attached to ESI since Feb '17. All documents were submitted to the HR team, and they said all payments will be made by ESI. The company does not pay any benefits; every claim should be made through ESI.
We visited the ESI office and found out that hospital expenses will be paid but not the salary due to the clause that any employee attached to ESI should complete 9 months to claim the maternity salary benefits; however, hospital expenses can be claimed.
Then we informed the HR team about the issue, and they said, in this case, we can't help if ESI does not pay; then it will be considered a loss of pay, and we should report to work after 6 months.
Kindly advise on the solution in this scenario.
Regards,
Ranganath
Bangalore
From India, Bengaluru
It is true that under ESI scheme, the maternity benefit is available during the benefit period on one condition: the employee must have contributed for at least 70 days during the last two consecutive contribution periods. In respect of newly joined employees, the first benefit period typically begins after around 9 months of their joining. For instance, if your wife joined in February 2017, her first benefit period would start in October 2017. This is why the ESIC has denied her cash benefits, such as leave with pay for 26 weeks.
Additionally, it is correct that when an employee covered by ESI takes maternity leave, the employer is not obligated to provide any salary, a rule that applies to all leaves under ESI. However, since she is ineligible for ESI leave, the employer is legally required to pay her salary during her maternity leave days. Employers cannot absolve themselves of this responsibility by claiming they provided coverage under ESI and leaving it to the employee to seek it from ESIC.
Furthermore, the law concerning Maternity Benefits specifies that leave should be granted if the employee has worked for 80 days DURING THE TWELVE MONTHS PRECEDING THE EXPECTED DATE OF DELIVERY. It does not mandate 26 weeks of leave if the employee has only worked for 80 days in the first few months of joining the establishment. The phrase "12 months immediately preceding the (expected) date of delivery" indicates a minimum service of 12 months with 80 days of work, including paid leaves and holidays during this 12-month period.
The above interpretation is my own understanding of the law; I have not come across any such interpretation from a Court. Therefore, many of you may hold different views on this. Please share your thoughts.
Madhu T K
From India, Kannur
Additionally, it is correct that when an employee covered by ESI takes maternity leave, the employer is not obligated to provide any salary, a rule that applies to all leaves under ESI. However, since she is ineligible for ESI leave, the employer is legally required to pay her salary during her maternity leave days. Employers cannot absolve themselves of this responsibility by claiming they provided coverage under ESI and leaving it to the employee to seek it from ESIC.
Furthermore, the law concerning Maternity Benefits specifies that leave should be granted if the employee has worked for 80 days DURING THE TWELVE MONTHS PRECEDING THE EXPECTED DATE OF DELIVERY. It does not mandate 26 weeks of leave if the employee has only worked for 80 days in the first few months of joining the establishment. The phrase "12 months immediately preceding the (expected) date of delivery" indicates a minimum service of 12 months with 80 days of work, including paid leaves and holidays during this 12-month period.
The above interpretation is my own understanding of the law; I have not come across any such interpretation from a Court. Therefore, many of you may hold different views on this. Please share your thoughts.
Madhu T K
From India, Kannur
Dear Seniors,
One of my friends joined on 20th Feb 2017 and will be on maternity leave from 01st Dec 2017. She is covered under ESIC and wants to claim maternity leave encashment under ESIC. Can she get the maternity leave encashment before delivery? Also, please kindly suggest what documents she will need to submit to the ESIC office. Furthermore, she has planned her delivery in a private hospital. Is there any way to claim the reimbursement from ESIC? Kindly help.
Regards
From India, Aizawl
One of my friends joined on 20th Feb 2017 and will be on maternity leave from 01st Dec 2017. She is covered under ESIC and wants to claim maternity leave encashment under ESIC. Can she get the maternity leave encashment before delivery? Also, please kindly suggest what documents she will need to submit to the ESIC office. Furthermore, she has planned her delivery in a private hospital. Is there any way to claim the reimbursement from ESIC? Kindly help.
Regards
From India, Aizawl
This was discussed in detail in the following thread:
https://www.citehr.com/592078-what-c...efit-esic.html
From India, Kannur
https://www.citehr.com/592078-what-c...efit-esic.html
From India, Kannur
Dear Shiv,
Before concluding that your friend is covered under ESI and consequently eligible for maternity benefits, please log in to the ESI IP Portal to check for eligibility with the ESI Insurance Number.
Thank you.
From India, New Delhi
Before concluding that your friend is covered under ESI and consequently eligible for maternity benefits, please log in to the ESI IP Portal to check for eligibility with the ESI Insurance Number.
Thank you.
From India, New Delhi
1. Sir, ESIC has its own system of deciding the eligibility of any insured person/woman for benefits under the ESI Act, 1948, and the payment of benefits. The benefit is called "maternity benefit" and is not any type of "maternity leave encashment" as you have mentioned.
2. In order to claim such maternity benefit, the insured woman must obtain the required medical certification either from an authorized ESI dispensary or an ESI Hospital to which she is attached. However, in the case of private hospitals, the payment of such benefit is doubtful. Regarding Government Hospitals, I believe the ESIC Branch Office Manager is authorized to pay the said maternity benefit (if the insured woman is otherwise entitled to) as a form of alternative evidence. It would be even better if the insured woman could contact the ESI dispensary as well as the ESI Hospital to which she is attached before delivery.
3. To examine the eligibility of the insured woman for such benefits, please refer to Rule 56 of the ESI (Central) Rules, 1950, as well as Regulation 4 of the ESI (General) Regulations, 1950. This is a matter of fact, and the correct position can perhaps be ascertained from the concerned Branch Office of ESIC to which the insured woman is attached.
From India, Noida
2. In order to claim such maternity benefit, the insured woman must obtain the required medical certification either from an authorized ESI dispensary or an ESI Hospital to which she is attached. However, in the case of private hospitals, the payment of such benefit is doubtful. Regarding Government Hospitals, I believe the ESIC Branch Office Manager is authorized to pay the said maternity benefit (if the insured woman is otherwise entitled to) as a form of alternative evidence. It would be even better if the insured woman could contact the ESI dispensary as well as the ESI Hospital to which she is attached before delivery.
3. To examine the eligibility of the insured woman for such benefits, please refer to Rule 56 of the ESI (Central) Rules, 1950, as well as Regulation 4 of the ESI (General) Regulations, 1950. This is a matter of fact, and the correct position can perhaps be ascertained from the concerned Branch Office of ESIC to which the insured woman is attached.
From India, Noida
Dear Sir,
Subject: Applicability of Maternity Benefits (Amendments) Act, 2017 to women employees who are covered under Employees State Insurance Act, 1948
What is the definition of wages under ESI Act for checking the Rs. 21,000/- threshold limit? (CTC these days comprise Basic+DA+HRA+Commuting Allowance+Medical Allowance+Special Allowance+PF Cont^+ESI Cont^+Insurance cost if any)
Will the full salary be paid during maternity leave, and if yes, who will pay - the employer or the ESI department? What is the defined procedure for claiming this?
What is the definition of "the average daily wage for the period of a worker's actual absence from work"?
Are facilities such as a creche and provisions for work from home not available?
Thank you.
From India, Gurgaon
Subject: Applicability of Maternity Benefits (Amendments) Act, 2017 to women employees who are covered under Employees State Insurance Act, 1948
What is the definition of wages under ESI Act for checking the Rs. 21,000/- threshold limit? (CTC these days comprise Basic+DA+HRA+Commuting Allowance+Medical Allowance+Special Allowance+PF Cont^+ESI Cont^+Insurance cost if any)
Will the full salary be paid during maternity leave, and if yes, who will pay - the employer or the ESI department? What is the defined procedure for claiming this?
What is the definition of "the average daily wage for the period of a worker's actual absence from work"?
Are facilities such as a creche and provisions for work from home not available?
Thank you.
From India, Gurgaon
Dear member, the term "wages" has been defined under Section 2(22) of the ESI Act, 1948. The term "average daily wage" has been defined under Rule 2(1-A) of the ESI (Central) Rules, 1950. You can also see the definition of "standard benefit rate" as defined in Rule 2(7-A) of the Rules mentioned above. You can download the above Act and rules from the website of ESIC.
Maternity Benefit is paid in cash by ESIC through their appropriate Branch Office and that too after the receipt of medical certificates in respect of an insured woman from an authorized ESI Dispensary or ESI Hospital. It is also required that the claimant insured woman must be eligible for the said benefit by having contributed for the minimum days as required under the above rules.
Hope, the claimant may contact the ESI dispensary or ESI Hospital, as well as the ESIC Branch Office to which she is attached, to get proper guidance and the proper medical certification required for claiming such benefit.
From India, Noida
Maternity Benefit is paid in cash by ESIC through their appropriate Branch Office and that too after the receipt of medical certificates in respect of an insured woman from an authorized ESI Dispensary or ESI Hospital. It is also required that the claimant insured woman must be eligible for the said benefit by having contributed for the minimum days as required under the above rules.
Hope, the claimant may contact the ESI dispensary or ESI Hospital, as well as the ESIC Branch Office to which she is attached, to get proper guidance and the proper medical certification required for claiming such benefit.
From India, Noida
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