Maternity Benefit Act Applies To Any Establishment As Defined Under Any Law In Force In State ; Applicable To Contract Employees : Kerala High Court

The Kerala High Court recently ruled that female officers appointed on a contract basis are entitled to the benefit of the Maternity Benefit Act. The Court further ruled that the term 'establishment' under the Act can be any establishment within the meaning of any law that is in force in the State in relation to establishments.Upon examining the relevant provisions and precedents, the Division Bench of Justice P.B. Suresh Kumar and Justice C.S Sudha also concluded that the Special Rules of a registered society cannot override the provisions of the Act, which is a Central Act."The term 'establishment' referred to in the MB Act can be any and every establishment within the meaning of any law for the time being in force in the State in relation to establishments. For instance, the Payment of Subsistence Allowance Act, 1972 (Kerala) is a law in force in the State of Kerala which defines 'establishment', as one where service is carried on also as in the case of the establishments of the second respondent (CPAS)," the Court explained.The Centre for Professional and Advanced Studies (CPAS) is a Society registered under the Travancore Cochin Literary Scientific and Charitable Societies Registration Act. It was formed to take over the self-financing institutions under Mahatma Gandhi University.The petitioner was appointed as a lecturer on a contract basis under CPAS in 2012 for three years. In 2014, she was granted maternity leave for 180 days and the entire leave period was sanctioned with allowance.Her appointment was later renewed for a further three years with effect from March 2015. During the course of the employment, the petitioner conceived once again and she applied for maternity leave for 180 days.As per the Special Rules framed By CPAS which were approved by the State, though maternity leave is provided for 180 days, maternity leave benefit has been limited to 90 days. Therefore, CPAS sanctioned maternity leave for 180 days but limited leave with allowance to 90 days.The petitioner moved the Single Judge arguing that denial of maternity leave with allowance for 180 days was in violation of the Maternity Benefit Act and the instructions contained in the circulars issued by the Ministry of Women and Child Health. She pointed out that the Rules framed by CPAS were only approved by the State in 2018 and therefore, her service conditions cannot be altered to her disadvantage during the course of her employment.The Single Judge allowed the petition and held that the petitioner was entitled to maternity leave with allowance for 180 days notwithstanding the taking over of the Self-financing Institutions of the Mahatma Gandhi University by the CPAS.Challenging this order, the CPAS approached the Division Bench with an appeal.Advocate P.C Sasidharan appearing for the appellant argued that contract employees are not entitled to the benefit of the Maternity Benefit Act. Further, it was argued that the CPAS has not been brought under the ambit of the Act by the State since no notification was issued under the proviso to Section 2 (1)(b).However, Advocate Dhanya P. Ashokan appearing for the respondent urged that the notification under the proviso was not necessary since the CPAS was an 'establishment' under Section 2(1)(b). Reliance was placed on several judicial decisions to argue that 'establishment' means any place where, inter alia, any occupation or service is carried on.The appellant objected to this interpretation and contended that the term only includes commercial establishments.Senior Government Pleader A.J.Varghese also appeared in the case.Upon examining the relevant provisions and precedents, the Division Bench dismissed the appellant's argument that it is not an establishment.Further, the Court observed that the Act is admittedly a beneficial piece of legislation with an object to see that a woman employee at the time of advanced pregnancy, is not compelled to work as it would be detrimental to her health and also to the health of the foetus. It is for this reason that the Act provides for maternity leave for certain periods prior to and after delivery.The Bench also noted that as per a Government Order issued in 2021, the State has extended the benefit of maternity leave on full pay as per the Kerala Service Rules up to 180 days or till the expiry of the existing contract whichever is earlier, to female officers appointed on contract basis, irrespective of the tenure of the contract.Moreover, Section 5(2) of the Maternity Benefit Act says that no woman shall be entitled to maternity benefit unless she has worked in the establishment for not less than 80 days in the 12 months immediately preceding the date of her expected delivery. The Court found that the appellant did not have a case that she had not worked for 80 days as contemplated thereunder.As such, the appeal was dismissed and the decision of the Single Judge was upheld.Case Title: Centre for Professional and Advanced Studies v. Abhitha Karun &...

Maternity Benefit Act Applies To Any Establishment As Defined Under Any Law In Force In State ; Applicable To Contract Employees : Kerala High Court

Hannah M Varghese

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