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Maternity benefits applicability

Labour & Industrial 491 views 1 replies

Pragati

MANAGER

28 Points Joined August 2013

Hi CA's

We are a professional recruitment company and provide contractual resources to IT clients. People are recuited on our payrolls but they work at our client's place. We pay salaries to the person add mark-up to the same and bill it to the client.

Now we have a resource who is going on Maternity leave from December. As per the Maternity Act we need to pay her salary for 3 months. Wanted to check whether we can receover the amount paid from our client or not !!

Please respond quickly :)

Pragati Jain

Chartered Accountant

9999710083

Replies (1)

Kolluru Krishna Murty

Partner

315 Points Joined December 2011

Dear Sir,

This is a typical case wherein much depends on the contract you have with your client.

If the terms of the contract with your client company do not have specific provision of such exclusions you can get the claim.

If the terms are such that they specifically exclude on terms like tenure of service of the persons deployed by you,gender of the persons then you can get your claim.

kkm