New Maternity Act  2017 is likely to have unfavorable effect- TeamLease Services


TeamLease Services, India’s largest composite staffing company, on 26th June, Tuesday released its latest report- The Impact of Maternity Benefits on Business and Employment, a detailed analysis on the maternity amendment bill and its effect on women workforce participation.

According to the report, 11 lakh to 18 lakh women are likely to face difficulty in finding new jobs this financial year in FY18-19 across the 10 sectors considered for the study.


An in-depth study on the consequences, as per the report, the immediate repercussion is not in favour of women talent. Further, while currently, only 27% of total workforce in India is women and 14% of the overall women workforce is employed in the formal sector, bill will significantly hamper the entry of new women into the workforce.

According to the Employers who were surveyed for this study the post-maternity attrition which is currently as high as 56% will drop to 33% in the next 4 years due to the adoption of the Maternity (Amendment) Bill 2017.

The study was conducted among 300 employers across 10 key sectors — aviation, BPO/ITeS, real estate, education, e-commerce, BFSI, IT, manufacturing, retail and tourism.

TOI reports “The Maternity Benefit (Amendment) Act 2017 positions India as the third most progressive country after Canada and Norway. However, the bill, in spite of having intent to benefit the women workforce, has been counterproductive to the new women workforce participation in the next 1-4 years,” said Rituparna Chakraborty, Co-founder & EVP, TeamLease Services.



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