The High Court of Kerala allowed a petition that challenged the order which directed the Petitioner to give maternity benefits and bonus to the Respondent under the Maternity Act. The Court ruled that the provisions of the Maternity Act did not apply to the private educational institution before 6th March 2020, as on this day, the Kerala Government issued a notification bringing the private educational institution including school education within the ambit of the provisions of the Maternity Act.
Brief Facts:
The Inspector under the Maternity Benefit Act, 1961 sent a show cause notice to the Petitioner, Dental College & Research Centre, an educational institution, alleging non-payment of maternity benefits to the respondent under the provisions of the Maternity Benefits Act, 1961 to which the petitioner replied but the inspector passed an order directing the Petitioner to pay an amount as maternity benefit and medical bonus to the Respondent under the provisions of the Maternity Act. The Petitioner filed an appeal under Section 17(3) of the Maternity Act but it was dismissed. Thus, this writ petition has been filed impugning the orders.
Contentions of the Petitioner:
It was contended that the provisions of the Maternity act have no universal application and that the provisions of the Maternity Act are not applicable to the Petitioner Institution which is a medical educational institution and not a shop or establishment to which the provisions of the Maternity Act are applicable.
Contentions of the Respondent:
It was contended that the Maternity Act is a beneficial legislation and further that the government has not exempted the medical educational institution from the purview of the provisions of Kerala Shops & Commercial Establishments Act, 1960.
Observations of the Court:
The Court observed that the Maternity Act is a beneficial legislation which has to be interpreted liberally.
It was opined that the educational institution will not come within the definition of "establishment", carrying on any business, trade or profession or any work in connection with, or incidental or ancillary thereto. In an educational institution, there is an organised activity between employers and employees to impart education. Such an activity, though may be industry, however, would not be a profession, trade or business for the purpose of Article 19(1)(g) of the Constitution, would not be one falling within the definition of establishment under the Act.
The Court held that the State Government has extended the provisions of the Maternity Act to include private educational institutions including unaided schools inclusive of teachers in the state of Kerala by notification of 6th March 2020. The Court further held that the provisions of the Maternity Act did not apply to the private educational institution before 6th March 2020, when the Government issued a notification bringing the private educational institution including school education within the ambit of the provisions of the Maternity Act.
The decision of the Court:
The Bench allowed the petition and the impugned orders were not sustainable.
Case Title: Chairman, PSM College of Dental Sciences & Research v. Reshma Vinod
Coram: Hon’ble Mr. Justice Dinesh Kumar Singh
Case No.: WP(C) No. 13201 of 2018
Advocates for the Applicant: Advs. Mr. K. K. Premlal, Mr. Vishnu Jyothis Lal
Advocates for the Respondent: Advs. Ms. C. P. Pretty, Mr. Sunny Xavier
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