Maternity Leave in India: 2025 Essential Guide for US Firms

Looking to figure out how maternity leave in India actually works when you're hiring talent there? Don’t worry, you’re not alone. Many US employers, founders, and global teams feel stuck trying to understand what’s required, what’s paid, and how Indian maternity laws impact hiring, payroll, and compliance.

From our experience helping global companies build teams in India, the confusion usually comes from one simple problem: US HR rules don’t apply overseas. India has its own maternity laws, its own timelines, and its own labor laws. The good news? Once you understand the rules, managing leave for employees in India becomes predictable and easy to plan for.

In this article, we’ll break down the exact rules, eligibility criteria, employer responsibilities, and global best practices so you can stay compliant, set clear expectations with your India team, and avoid any surprises. Let’s get started.

What is maternity leave in India?[toc=Introduction]

Maternity leave in India is legally mandated paid time off provided to working women during pregnancy and after childbirth to protect their health and ensure financial stability. It is a statutory entitlement under the Maternity Benefit Act of 1961, which was updated in 2017 to extend the maternity leave duration, strengthen job protection, and improve benefits for mothers. The law requires employers to provide paid leave, safeguard employment, and support the well-being of both the mother and newborn.

Who is eligible for maternity leave in India?[toc=Eligibility Criteria]

Eligibility includes an 80-day waiting period with the same employer, which must be completed before claiming maternity leave period.

Based on our experience navigating Indian labor laws, we can confirm that the Maternity Benefit Act lays out clear criteria to ensure support for working women during pregnancy and childbirth.

Here's what you need to know:

• Employment Duration: Women must have worked for at least 80 days in the 12 months preceding their expected delivery date with the same employer. This ensures benefits for female employees who have been actively contributing to the organization.
• Applicable Establishments: The Act applies to establishments with 10 or more employees, including factories, shops, plantations, and other notified organizations.
• Inclusivity: Maternity leave isn’t limited to biological mothers. Adoptive mothers of children under three months and commissioning mothers (using surrogacy) are eligible for 12 weeks of paid leave. Women recovering from a miscarriage are entitled to six weeks of paid leave.

India differentiates maternity leave between the first two children and third and subsequent children, which impacts employer budgeting and planning.

Here’s a quick breakdown of eligibility types:

This comprehensive framework ensures that maternity benefits are accessible across diverse scenarios, supporting women through critical life stages while maintaining workplace inclusivity. The Act ensures pregnant women receive financial protection and medical support throughout pregnancy and after delivery.

Also read: Paternity leave in India 2025: Eligibility and Benefits

What is the legal framework for maternity leave in India?[toc=Legal Framework]

India’s maternity leave regulations are grounded in the Maternity Benefit Act, 1961, a landmark legislation designed to protect the rights of working women during pregnancy and childbirth. Over the years, this Act has evolved to meet modern workplace needs, with the 2017 Amendment ushering in significant changes.

The Act mandates that maternity benefits be paid at the rate of actual daily wages, protecting women from any loss of income during leave.

Based on our experience navigating Indian employment laws, we can confirm that understanding this framework is essential for global employers managing female employees in India.

Key Highlights of the Maternity Benefit Act, 1961

• Scope and Applicability: The Act applies to all establishments employing 10 or more employees, including factories, shops, mines, plantations, and other notified organizations.
• Paid Leave: Women are entitled to fully paid maternity leave based on their average daily wage during the leave period.
• Job Protection: Employers cannot terminate or discriminate against women during maternity leave. They must reinstate them in their original or equivalent position upon return.

Major Changes Introduced by the 2017 Amendment

The Maternity Benefit (Amendment) Act, 2017 enhanced maternity benefits significantly:

• Extended Leave Duration: Paid maternity leave increased from 12 weeks to 26 weeks for the first two children. For subsequent children, adoptive mothers, and commissioning mothers (surrogacy), the entitlement is 12 weeks.
• Work-from-Home Option: Employers may offer work-from-home arrangements post-maternity leave if mutually agreed upon, depending on the nature of work.
• Crèche Facilities: Establishments with 50 or more employees must provide crèche facilities within a reasonable distance. Mothers are allowed four visits a day to the crèche, including breaks.

Penalties for non-compliance

• Employers who fail to pay maternity benefits can face fines of up to ₹5,000 and imprisonment of up to one year, or both.
• If an employer dismisses a woman during her maternity leave or alters her terms unfairly, she can initiate legal action that may result in additional fines and imprisonment, along with reputational and compliance risks for the organization.

Having helped global businesses manage leaves of employees in India, we can attest that compliance with these laws is crucial, not just to avoid penalties but to foster a supportive and inclusive workplace.

What are the maternity leave benefits in India?[toc=Benefits]

Maternity leave in India offers more than just time off, it’s a comprehensive support system for working mothers. These benefits focus on financial stability and providing job security so working mothers never face role dilution or unfair treatment.

Based on our experience managing employee benefits in India, we can attest that these provisions not only promote employee well-being but also strengthen workplace culture. Here’s a closer look at the key benefits:

• Paid Leave: Women are entitled to full wages during maternity leave, calculated as their average daily wage. This ensures income security during pregnancy and recovery. Employers must budget for this as a statutory cost.
• Job Security: Employers cannot dismiss or alter a woman’s employment terms during maternity leave. Protection extends against demotion, pay cuts, or unfair treatment.
• Right to Reinstatement: On return, women must be reinstated to their original role with the same pay and benefits. This ensures career continuity and prevents role dilution.
• Workplace Amenities: Employers must provide safe drinking water, hygienic restrooms, and comfortable seating. Establishments with 50+ employees must also set up a crèche.
• Additional Leave: An extra one month of paid leave is available if pregnancy or delivery causes illness or complications. This adds flexibility for medical realities.
• Work-from-Home: By mutual agreement, employers may offer work-from-home post-maternity. This helps new mothers transition back while balancing childcare.

These benefits are designed to support pregnant women through recovery, childcare, and the transition back to work.

How does maternity leave in India compare to the US (FMLA)?[toc=India vs. US: Comparison]

India maternity leave is fully paid and legally protected, while the US relies on the unpaid FMLA framework and employer-driven policies.

For US companies hiring in India, understanding how long is maternity leave in India and how it differs from the American system is essential for accurate budgeting, compliance planning, and building equitable global policies.

This section breaks down the major differences between India’s maternity laws and the US FMLA system.

For US employers hiring in India, understanding that maternity leave paid benefits are mandatory, not optional, is critical for accurate payroll planning.

What this means for US employers hiring in India

• India’s maternity leave is significantly more generous, and fully paid, compared to US federal law.
• Budget planning must account for 26 weeks of paid leave, especially for high-skill roles where compensation is higher.
• India employees expect statutory compliance as a baseline, while US teams may see parental leave as a perk.
• If hiring through an EOR, the EOR manages all statutory maternity obligations for you.
• Your global parental leave policy must match or exceed India’s 26-week minimum to maintain consistency across countries.

What are the maternity leave rules in India?[toc=Leave Rules]

Maternity leave in India isn’t just about taking time off; it’s about creating a smooth and supportive experience for working mothers while ensuring employers stay compliant with Indian laws. From timing to documentation, there are a few rules that both employees and employers need to follow. Based on our years of experience managing employee benefits in India, we can confidently guide you through these essential details:

Timing of Leave Commencement

In India, women can start their maternity leave up to 8 weeks before their expected delivery date. The remaining leave is taken after childbirth, giving mothers the flexibility to plan their time off based on personal needs and medical advice.

Employer Communication

A formal notification is key. Female employees need to inform their employer about their maternity leave plans in advance; usually through a written application or email. This helps employers plan workloads and ensure smooth operations during the employee’s absence.

Documentation Requirements

To process maternity leave, female employees need to provide:

• A medical certificate from a registered practitioner confirming pregnancy and expected delivery date.
• Post-delivery, additional documents like a birth certificate or discharge summary may be required, depending on company policies.

These documents ensure transparency and compliance with company policies while safeguarding employee rights.

Employers’ Responsibilities

Employers have a legal obligation to support female employees during maternity leave period. Here’s what they need to do:

• Advance Payment: Employers must pay wages for up to 8 weeks of pre-delivery leave in advance, once proof of pregnancy is submitted. This ensures financial support before childbirth when work may not be possible.
• Post-Delivery Payment: The wages for the post-delivery period must be cleared in one lump sum within 48 hours of receiving proof of childbirth. This guarantees immediate income security after delivery.
• No Difficult Tasks: In the 10 weeks leading up to delivery, pregnant employees cannot be assigned strenuous tasks, long standing duties, or overtime work. This provision safeguards maternal health.
• Creche Facilities: Organizations with 50 or more employees must provide a crèche facility, allowing mothers to visit their child during work hours. This supports childcare and workforce participation.

Medical Certificates

Medical certificates aren’t just paperwork—they’re crucial for ensuring smooth processing of maternity benefits:

• Pre-delivery certificates confirm the need for leave before childbirth.
• Post-delivery certificates may be required if complications arise or additional recovery time is needed.

By following these rules, both employees and employers can ensure a seamless process that respects legal requirements while fostering a supportive workplace culture in India. In our experience helping global businesses manage maternity benefits in India, we’ve seen how clarity in these rules leads to happier employees and smoother operations.

How do maternity leave policies differ across sectors in India?[toc=Sector-Specific Policy]

When it comes to maternity leave policies in India, different sectors in India approach them in unique ways. Over the years, we’ve helped global employers navigate these variations, ensuring compliance while supporting their employees effectively. Let’s take a closer look at how maternity leave provisions works across public, private, and unorganized sectors and what employers need to know.

Public Sector: Structured and Comprehensive

In government organizations, maternity leave policies are well-defined and strictly implemented.

• Leave Duration: Women employees are entitled to 26 weeks of paid leave for their first two children. For subsequent children, the leave is reduced to 12 weeks.
• Additional Benefits: Many public sector employers offer extended leave options (such as combining maternity leave with earned or medical leave) and childcare facilities.
• Consistency: These policies are uniform across state and central government offices, making them predictable and reliable for Women employees.

Private Sector: Flexible but Varied

Private companies follow the Maternity Benefit Act but often tailor policies to attract and retain talent.

• Leave Duration: The standard 26-week paid leave applies, but some progressive companies go the extra mile by offering additional unpaid leave or flexible work options post-maternity.
• Enhanced Benefits: Leading organizations provide crèche facilities, nursing breaks, or even financial perks as part of their maternity packages.
• Challenges: Smaller firms may struggle with compliance due to limited resources, making it crucial for employers to prioritize legal adherence while balancing operational needs.

Unorganized Sector: Limited Access

The unorganized sector presents unique challenges for maternity benefits due to its informal nature. However, there are provisions in place:

• Coverage Through ESI: Women working in establishments covered under the Employees’ State Insurance (ESI) scheme can access maternity benefits if they meet eligibility criteria (e.g., contributing for at least 70 days).
• Pradhan Mantri Matru Vandana Yojana (PMMVY): A one-time cash benefit of ₹6,000 for the first live birth to support nutrition and partial wage compensation.

Schemes like PMMVY offer essential financial compensation to pregnant women, helping them manage nutrition and wage loss.

Specialized Industries: Tailored Approaches

Certain industries take a customized approach based on workforce needs:

• IT and Tech Companies: Flexible work-from-home arrangements and extended maternity leave are common perks in this sector, reflecting its focus on employee well-being.
• Manufacturing and Retail: These industries prioritize physical safety by restricting heavy tasks during pregnancy and ensuring hygienic facilities at work.

We’ve learned that tailoring maternity leave policies to your industry is key. Whether you’re operating in tech or retail or managing workers in the unorganized sector, understanding these nuances ensures legal compliance while building a supportive workplace culture in India.

By aligning your policies with sector-specific requirements and legal mandates, you can create an environment where employees feel valued during one of the most important phases of their lives.

What are the maternity leave challenges for employers and employees in India?[toc=Challenges]

Maternity leave is essential, but it comes with its own set of challenges for both employers and employees. Over the years, we’ve worked with global businesses and teams across India to navigate these hurdles, and we’ve seen how addressing them can lead to better outcomes for everyone involved. Let’s dive into the common challenges and how they impact both sides.

Challenges we see for employers:

1. Workforce Management: When a key employee takes extended leave, it’s not always easy to redistribute tasks or hire temporary replacements. We know how this can disrupt workflows, especially for smaller businesses trying to balance limited resources.
2. Financial Strain: In India, employers bear the full cost of paid maternity leave. For many organizations, especially startups or SMEs, this can feel like a significant financial burden. Our experience shows that planning ahead can help mitigate these costs.
3. Navigating Compliance: Staying on top of maternity leave laws isn’t always straightforward. We’ve seen companies struggle with understanding legal requirements, which can lead to non-compliance risks like fines or penalties.
4. Retention Concerns: There’s always uncertainty about whether an employee will return after maternity leave. This makes long-term workforce planning tricky, but fostering a supportive environment can make all the difference.

Challenges we see for employees:

1. Career Setbacks: Many women fear losing career momentum when they take maternity leave. We’ve seen cases where returning mothers face slower promotions or altered roles—something organizations must actively work to prevent.
2. Workplace Discrimination: Unfortunately, discrimination still exists in some workplaces. We’ve heard stories of women being pressured to resign or sidelined after returning from maternity leave, despite laws protecting their rights.
3. Lack of Awareness: Not all female employees fully understand their rights under India’s Maternity Benefit Act. In our work managing employee benefits for remote India employees, we often help educate teams about the support they’re entitled to.
4. Challenges in Reintegration: Returning to work after several months away can be daunting—catching up on missed developments and rebuilding confidence takes time. We believe employers should offer mentorship or reintegration programs to ease this transition.

In our years of helping foreign companies manage payroll in India, we’ve learned that communication is key. Employers need to plan ahead, support returning mothers, and go beyond compliance to create inclusive workplace policies. On the other hand, female employees should feel empowered to assert their rights and seek clarity on available benefits.

Does India really provide 24+ weeks of paid maternity leave?” reveals that many women in larger corporates and banks do receive the full 26 weeks, while others still face subtle penalties like slower promotions or being sidelined after returning. It also highlights that smaller institutions often struggle or avoid compliance, leading to unpaid leave or non-renewed contracts. Read more on Reddit

How can Wisemonk help you with maternity leave in India?[toc=How Wisemonk helps]

Wisemonk is an Employer of Record (EOR) service that manages every aspect of maternity leave compliance for your business in India. We handle leave calculation, payroll, and compliance, ensuring you and your employees are always protected and up to date with the latest regulations. With our expertise, you can confidently create and implement seamless, compliant maternity leave policies, even for remote teams.

Key features of Wisemonk:

• We manage maternity leave end-to-end: From calculating entitlements to processing salaries, we ensure compliance with Indian laws.
• We handle documentation: Medical certificates, leave applications—our team takes care of all the paperwork.
• We streamline payroll: Timely payments and accurate tax deductions are guaranteed with our payroll expertise.
• We ensure legal compliance: With our deep understanding of Indian labor laws, we keep your business protected from penalties.
• We support your employees: Through self-service portals, employees can track leave and benefits easily.

Beyond maternity leave management, we also provide contractor payments, talent sourcing and recruitment, background verification, equipment procurement, company registration, and full support for setting up offshore teams or Global Capability Centers (GCCs) in India. With Wisemonk, you gain a trusted partner for every aspect of building and managing your India workforce.

Contact us today to see how we can make managing your workforce in India effortless!