Plea Challenging Provisions Of Code on Social Security, 2020: Madras High Court Issues Notice

Plea Challenging Provisions Of Code on Social Security, 2020: Madras High Court Issues Notice
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The Madras High Court on June 21, 2021 issued notice in a plea challenging the provisions of Code on Social Security, 2020 which allegedly reduce the benefits guaranteed for the women under the Maternity Benefits Act.

The bench of Chief Justice Sanjib Banerjee and Justice Senthilkumar Ramamoorthy while admitting the plea preferred by Vahitha Parveen, convenor of All India Working Women Forum of the AITUC which states that the provisions of the Code on Social Security make the life of working women miserable have directed the Union to respond to the plea within four weeks.

The petitioner in her plea has averred that the Maternity Benefits Act provided cash benefits to the woman employed in any coverable establishment almost to the extent of their wages, but the Code on Social Security which proclaims that it replaces the existing Maternity Benefit Act reduces drastically the quantum of maternity benefit payable to working women and makes benefits payment only with reference to the minimum wages payable.

The Code on Social Security, 2020 which received presidential assent on September 28, 2020 and came into force on April 1, 2021 under Chapter VI deals with Maternity Benefits wherein section 60 of the Code deals with Right to Payment of Maternity Benefit. As per the said provision, “every woman shall be entitled to, and her employer shall be liable for, the payment of maternity benefit at the rate of the average daily wage for the period of her actual absence, that is to say, the period immediately preceding the day of her delivery, and any period immediately following that day.

Further, the “average daily wage” as per the explanation means, “the average of the woman's wages payable to her for the days on which she has worked during the period of three calendar months immediately preceding the date from which she absents herself on account of maternity, subject to the minimum rate of wage fixed or revised under the Code on Wages, 2019.

The Court has therefore while listing the matter to be heard on August 9, 2021 has directed to tag the matter along with W.P.Nos.15197 of 2020 and 4809 of 2021 that deal with the same subject matter.

Case Title: Vahitha Parveen Alias Vahidha Nizam Vs.Union Of India And 3 Others.| WP 12694/2021

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