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Eligibility for Maternity leave in Pvt Ltd company having only 2 employees - CiteHR

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aditi1
Hi,
I am working in Private Limited Company having licence under Shop and Establishment Act. There are only two employees including myself in the company. We have group companies and I am working for past 8 years with the organisation. Maternity act 1961 says
Application of Act.
2. Application of Act.- 5*[(1) It applies, in the first instance,--
(a) to every establishment being a factory, mine or
plantation including any such establishment belonging
to Government and to every establishment wherein
persons are employed for the exhibition of equestrian,
acrobatic and other performances;
(b) to every shop or establishment within the meaning of any
law for the time being in force in relation to shops
and establishments in a State, in which ten or more
persons are employed, or were employed, on any day of
the preceding twelve months:]
So can i avail benefit of 180 days leave as per amendment act 2017?

From India, Mumbai
aditi1
Guys please reply. Its bit urgent. Thanking you
From India, Mumbai
Madhu.T.K
3891

If there are other companies by the same management and if there exists financial integrality among different companies under the same group, there is a chance that the employees will be clubbed together to decide the applicability under ESI Act, EPF & MP Act, ID Act or other Acts. As such you will become for maternity leave also. The tests to find it out are:
1. You may have different RCs under Shops...Act for each office but the controlling authority is the same.
2. There occurs funds transfer from one establishment to another
3. Accounting work is maintained at one office, say, the head office of the group where people will do the work of all the establishments.
4. Employees in one establishment will be transferred to another establishment. It can be a temporary arrangement also.
5. You do not have a reporting officer in your office but will ask for leaves, salary advance etc to another person sitting in another office, say, HO.
The above mentioned are some of the tests to prove that for the purpose of labour law compliance, all establishments under the management should be brought together. Now you decide how many employees you have and act accordingly.

From India, Kannur
aditi1
Thanx for your quick reply. We have group companies under same management and other company have more than 10 employees.
But here is the twist in the situation. This 10 employees ctiteria had been overseen by us and I have already availed 5 months salary from that company having two employees. Now suddenly Management had come with this section and saying you were not eligible for Maternity Leave.
I want to ask that even if law is not allowing Maternity benefit for two employee company, can Management give this benefit at its descretion? Is there any non compliance if Compamy takes stand that this leave was given at the discretion of Management.

From India, Mumbai
nathrao
3124

Management can give Maternity Benefits even if they have one employee at their discretion.
They can give extra benefits also.No law stops them from giving some benefit or payment.
But employee cannot demand what is not authorised by law or mutual agreement.

From India, Pune
Madhu.T.K
3891

The group of companies concept as accepted and accordingly maternity leave granted cannot be withdrawn. The fact that all the establishments under the group can be considered as one in the eyes of law should be taken as a defense to say that you are eligible for maternity leave.
From India, Kannur
mohandas_1986
14

what is the law protection of Protected workmen in id act
From India, Palakkad
Madhu.T.K
3891

Please start a separate thread for Protected workmen
From India, Kannur
Anonymous
1

As per my understanding Shops & Establishments License is issued to Companies having 9 or more employees. In fact, if you try to get a license online and indicate you have less than 9 employees, you can't go further. I mention this because if your Company goes for renewal, there is a chance they will be told its not necessary. So you may not get any S&E benefits.
From India, Mumbai
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