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Startups hiring more male employees than women to avoid paying for maternity leave: Report
Startups hiring more male employees than women to avoid paying for maternity leave: Report

The government’s move to pay for the 7-week maternity leave has brought smiles on the faces of all women but looks like the start-ups are not happy with the decision.

According to a survey by social media platform LocalCircles, stated that 75%start-ups either hired only or mainly male employees.

The poll received 2,987 votes from startups & small & medium enterprises (SMEs) across India.

The LocalCircles’ survey polled over 8,000 startups & SMEs from across India. They received more than 15,000 votes that showed a large majority of the companies view the 19 weeks of business paid maternity benefit leave as “too much” to cover.
The companies expressed concern that the government’s reimbursement for seven weeks of maternity benefit may take a long time to come.
In March 2017, the Centre had approved the bill granting women working in the organised sector paid maternity leave of 26 weeks. The decision was made after bringing up the number of maternity leave from 12 to 26 weeks. The law applies to all establishments employing 10 or more people.
As part of the survey, 42 percent of startups & SMEs said they will not hire female employees at all despite the government’s decision to pay for the 7 weeks out of the 26 weeks. In contrast, 23 percent said they will definitely hire more women, while 35 percent said they ‘might’ hire more women.
India is the third nation after Canada which grants 50 weeks maternity leave & Norway that grants 44 weeks.