Sample Maternity Leave Policy under the Expanded Maternity Leave Law

The company has to implemented the provisions of R.A. 11210 or the Expanded Maternity Leave Law and its IRR. Below is the sample maternity leave policy which a company may adopt illustrating compliance with the mandate:

General Principles

The company adheres to the policy of the law granting protection to and promoting the rights and welfare of working women, taking into account their maternal functions, and to provide an enabling environment in which their full potential can be achieved.

Coverage

Any pregnant female employee is granted by the Social Security System (SSS) a maternity leave of one hundred five (105) days with full pay, regardless of whether she gave birth via caesarian section or natural delivery, while maternity leave of sixty (60) days with full pay shall be granted for miscarriage or emergency termination of pregnancy.

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The covered employee has the option to extend for an additional thirty (30) days without pay. The above period of extended maternity leave without pay shall not be considered as gap in the service. If the employee qualifies as a solo parent under R.A. No. 8972, or the “Solo Parents’ Welfare Act”, the worker she is granted an additional fifteen (15) days maternity leave with full pay.

Manner of Enjoyment

The enjoyment of maternity leave cannot be deferred but should be availed of either before or after the actual period of delivery in a continuous and uninterrupted manner, not exceeding one hundred five (105) days, as the case may be.

The maternity leave is granted by the SSS to female workers in every instance of pregnancy, miscarriage or emergency termination of pregnancy, regardless of frequency. In cases of miscarriage or emergency termination of pregnancy, sixty (60) days maternity leave with full pay is granted.

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Eligibility

A female SSS member who has paid at least three (3) monthly contributions in the twelve (12)-month period immediately preceding the semester of her childbirth, miscarriage, or emergency termination of pregnancy is paid her daily maternity benefit which shall be computed based on her average SSS monthly salary credit for one hundred five (105) days, regardless of whether she gave birth via caesarian section or natural delivery, subject to the following conditions:

1. That the female employee shall have notified the company of her pregnancy and the probable date of her childbirth, which notice shall be transmitted by the company to the SSS in accordance with the rules and regulations it may provide;
2. That the full payment shall be advanced by the company within thirty (30) days from the filing of the maternity leave application;
3. That the payment of daily maternity benefits shall be a bar to the recovery of sickness benefits provided under Republic Act No. 1161, as amended, for the same period for which daily maternity benefits have been received;
4. That the SSS shall immediately reimburse the employer of one hundred percent (100%) of the amount of maternity benefits advanced to the female worker by the employer upon receipt of satisfactory and legal proof of such payment

In determining entitlement to the benefit, the SSS considers only those contributions paid prior to the semester of contingency. The maternity leave can be credited as combinations of prenatal and postnatal leave as long as it does not exceed one hundred five (105) days and provided that compulsory postnatal leave shall not be less than sixty (60) days.

Benefit Shall Be Advanced

The full payment of the maternity leave benefit shall be advanced by the company within thirty (30) days from the filing of the complete maternity leave application.

The female employee shall have the obligation to provide the company with all documents needed for reimbursement such as birth certificate and relevant hospital records.

Salary Differential

The company shall pay the covered employee’s salary differential in accordance with the law and rules.

The company shall pay the salary differential between the full salary of the covered employee during her maternity leave and the actual cash benefits received from the Social Security System (SSS) which shall be computed as follows:

1. Full pay computation:

Full Pay = monthly salary x maternity period in months

2. Determination of the premium contribution share for SSS, Philippine Health Insurance Corporation (PhilHealth), and Home Development Mutual Fund (Pag-Ibig) covering the maternity period.
3. Determination of the amount of SSS maternity leave benefit of the female worker based on the prescribed formula and computation by the SSS.
4. Deduction from the amount of full pay the total amount of employee’s premium contribution share and SSS maternity leave benefit.

The “Full Pay” as defined in Section 1 (j), Rule II of the IRR of R.A. 11210 refers to actual remuneration or earnings paid by an employer to a worker for services rendered on normal days and hours not lower than the wage rate fixed by the Regional Tripartite Wages and Productivity Board (RTWPB) including allowances provided for under existing company policy or collective bargaining agreement.

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For the monthly salary, the equivalent monthly rate may be computed as follows: (daily rate x factor) / 12. The company’s factor for monthly paid employees is 365.

If the female worker is not uniformly paid whereby daily rate or monthly rate cannot be determined, the average of her monthly salary for the last twelve-month period shall be adopted.

Article 13 of the Civil Code provides that a month shall be understood as thirty (30) days.

DOLE Illustration for Expanded Maternity Leave of 105 days or 3.5 months:

6. Monthly Salary of PhP14,006.75

Full Pay                                                          PhP49,023.63

Social Welfare Contributions                    PhP 2,984.07

SSS Maternity Benefit                                 PhP70,000.00

Salary Differential                                        PhP -2,960.45

300. Monthly Salary of PhP31,300.00

Full Pay                                                          PhP109,550.00

Social Welfare Contributions                    PhP   4,656.31

SSS Maternity Benefit                                 PhP 70,000.00

Salary Differential                                        PhP 34,893.69

The amount of salary differential shall be treated as taxable income of the female worker subject to the rules and regulations of the Bureau of Internal Revenue.

The salary differential shall be included as part of the basic salary for purposes of computation of the 13^th month pay of the rank-and-file employee.

Extended Maternity Leave Without Pay

An additional maternity leave of thirty (30) days, without pay, can be availed of, at the option of the female employee. The company should be given due notice, in writing, at least forty-five (45) days before the end of her maternity leave. No prior notice shall be necessary in the event of a medical emergency but subsequent notice should be given. The option to extend for an additional thirty (30) days without pay shall be in case of live childbirth only. 

Employees availing of the maternity leave period and benefits shall receive their full pay. The company shall pay the salary differential between the actual cash benefits received from the SSS by the covered employee and the average weekly or regular wages, for the entire duration of the maternity leave.

Notice Requirement

The notification process for SSS-covered female workers and/or members and employers shall be governed by the following rules:

1. The female member, upon confirmation of pregnancy, shall immediately inform the company of such fact and the expected date of childbirth;
2. The company shall, in turn, notify the SSS through the prescribed manner;

Allocation of Maternity Leave Credits

The covered employee entitled to maternity leave benefits may, at her option, allocate up to seven (7) days of said benefits to the child’s father, whether or not the same is married to the female worker.

In the death, absence, or incapacity of the father of the child, the benefit may be allocated to an alternate caregiver who may be a relative within the fourth degree of consanguinity or the current partner of the female worker sharing the same household, upon the election of the mother taking into account the best interests of the child.

A written notice should be provided to the company by the female worker and alternate caregiver. The availing female employee shall notify the company of her option to allocate with her application for maternity leave. The availing father or alternate caregiver, as the case may be, shall notify the company of his or her availment of the allocated leave and the inclusive dates therefor.

The allocated benefit is over and above that which is provided under R.A. 8187, or the “Paternity Leave Act of 1996”.

The option to allocate maternity leave credits shall not be applicable in case the female employee suffers miscarriage or emergency termination of pregnancy.

In case the female worker avails of the option to allocate, the SSS shall pay her the amount of the maternity benefit corresponding to the period not allocated.

As applicable, the father or, in his death, absence, or incapacity, the alternate caregiver shall be granted a leave with pay equivalent to a period from one (1) to seven (7) days, which may be enjoyed either in a continuous or in an intermittent manner not later than the period of the maternity leave availed of.

Balance of Maternity Leave Benefit in Case of Death

In the event the beneficiary female employee dies or is permanently incapacitated, the balance of her maternity leave benefits shall accrue to the father of the child or to a qualified caregiver as provided above, subject to the following conditions:

1. That the maternity leave benefits have not yet been commuted to cash, if applicable; and
2. That a certified true copy of the death certificate or medical certificate or abstract is provided to the employers of both the female worker and the child’s father or alternate caregiver;

In case the maternity leave benefits of the deceased or permanently incapacitated female employee have already been paid to the latter in full, the child’s father or alternate caregiver shall be entitled to enjoy the remaining unexpired leave credits of the female worker, if there be any, without pay. Such leave without pay shall not be considered as a gap in the service of the child’s father or alternate caregiver.

Bar to recovery of sickness benefits

The payment of daily SSS maternity benefits shall be a bar to recovery of sickness benefits provided under R.A. 11199, for the same period for which daily maternity benefits have been received.

Consecutive pregnancies and multiple childbirths

The payment of the SSS maternity benefits in cases of consecutive pregnancies resulting in overlapping maternity leaves ad in cases of multiple childbirths shall be governed by the following rules:

1. In case of overlapping of two (2) maternity benefit claims, the covered employee shall be granted maternity benefits for the two contingencies in a consecutive manner. However, the amount of benefit corresponding to the period where there is an overlap shall be deducted from the current maternity benefit claim; and
2. The female member shall be paid only one maternity benefit, regardless of the number of offspring, per childbirth/delivery

Maternity Leave After Termination

The Maternity leave with full pay is granted by the SSS even if the childbirth, miscarriage, or emergency termination of pregnancy occurs not more than fifteen (15) calendar days after the termination of an employee’s service.