Maternity benefit act - 1961 and 2017 amendment

Why the maternity benefit act matters more than ever

Maternity benefits are a critical part of building inclusive, supportive, and future-ready workplaces in India.

With more women joining and continuing in the workforce, organizations are being evaluated not only on pay and growth, but also on how they support employees during major life events like pregnancy and childbirth. A lack of maternity support often leads to career drop-offs, reduced participation of women in leadership roles, and higher attrition post-childbirth.

This is where the Maternity Benefit Act, 1961 plays a vital role. The law was introduced to protect the employment and income of women during maternity and to ensure their well-being before and after childbirth.

However, recognizing the evolving nature of work, women’s health needs, and global standards, the Act underwent a landmark amendment in 2017. The amendment significantly expanded maternity benefits, increased paid leave duration, and introduced progressive provisions such as work-from-home options, crèche facilities, and leave for adoptive and commissioning mothers.

For HR leaders, the Act directly impacts retention, gender diversity, and employer brand credibility. For working women, it defines their right to income security, dignity, and care during one of the most critical phases of life.

Who does the maternity benefit act apply to?

One of the most common questions around the Maternity Benefit Act is whether it applies to a specific organization or employment type.

The Act applies to all establishments in India that employ 10 or more employees, including:

• Factories
• Mines
• Plantations
• Shops and commercial establishments
• Offices and service organizations

It is applicable across both the private and public sectors, regardless of industry.

Does the act apply to contractual or temporary employees?

Yes. The Act is not limited to permanent employees alone. Women employed on a contractual, temporary, daily-wage, or probationary basis are also covered, as long as they meet the eligibility criteria specified under the law.

The key factor is not the nature of employment, but whether the woman is employed by an eligible establishment and has completed the required number of working days.

This wide applicability ensures that maternity benefits are not restricted to a privileged few, but extend to a broad segment of working women in India.

Eligibility conditions under the maternity benefit act

While the Act provides strong protections, maternity benefits are subject to certain eligibility conditions.

Minimum working requirement

To be eligible for maternity benefits, a woman must have worked for at least 80 days in the 12 months immediately preceding the expected date of delivery. These days include days actually worked, paid leave, and lay-off days.

Paid vs Unpaid maternity leave

Once the eligibility condition is met:

• Maternity leave is fully paid
• Payment is based on the woman’s average daily wage
• The employer is legally responsible for paying this amount during the leave period

If the eligibility criteria are not met, the employer is not obligated to provide paid maternity leave under the Act.

Duration of maternity leave

‍As per the act, a woman is entitled to 26 weeks of maternity leave for her first two children. For any subsequent children, the entitlement is for 12 weeks of maternity leave.

Intervals for nursing breaks

‍Women are entitled to two nursing breaks of 15 minutes each, in addition to their regular lunch break, until the child is six months old.

Work from home option

‍As per the latest amendments to the act under Section 5(5), women are also entitled to work from home if the nature of their work allows for it. This is after the exhaustion of maternity leave

Maternity leave extension

‍In case of illness arising out of pregnancy, delivery, premature birth of child, miscarriage, or medical termination of pregnancy, a pregnant woman can extend her maternity leave by an additional one month.

Eligibility for miscarriage and medical termination of pregnancy (MTP)

The Act also recognizes pregnancy loss and related medical conditions. A woman is entitled to:

• 6 weeks of paid leave in case of miscarriage or medical termination of pregnancy
• Additional leave in case of illness arising from miscarriage, MTP, premature birth, or delivery, as certified by a medical practitioner

These provisions acknowledge that maternity care goes beyond childbirth and includes physical and emotional recovery.

Read: Maternity health insurance

Key differences between the Maternity Benefit Act of 1961 and the amended act of 2017.

The Maternity Benefit Act of 1961 was introduced to provide for maternity leave and other benefits for working women. At the time, the act provided for 12 weeks of paid maternity leave, with the employer required to pay the woman her full wages during the leave period. The act also provided medical benefits and other protections for pregnant women and new mothers.

Number of leaves

In 2017, the act was amended to provide for several significant changes. The most notable change was an increase in the duration of maternity leave from 12 weeks to 26 weeks for women working in establishments with 10 or more employees. This change was made to bring India in line with international standards and to give women more time to recover from childbirth and bond with their babies.

Leaves for adoption

The 2017 amendment also introduced maternity leave of 12 weeks for women who adopt a child below the age of three months, as well as for commissioning mothers who use a surrogate to carry their child. The act also requires employers to provide information and communicate about the maternity benefits available to their employees in writing and electronically.

Crèche facilities

Another significant change introduced by the 2017 amendment was the requirement for establishments with 50 or more employees to provide crèche facilities for working mothers. The crèche must be located within 500 meters of the workplace and provide facilities such as clean drinking water, a safe and hygienic environment, and at least one attendant for every 10 children.

In summary, the 2017 amendment increased the duration of maternity leave, provided for maternity leave for adoptive and commissioning mothers, required employers to provide information about maternity benefits, and mandated crèche facilities for larger establishments.

Read: How to improve maternity cover for employees?

Review your maternity policies today from statutory leave compliance to health insurance coverage and ensure your organization is truly prepared to support parenthood at work.