NLA passes labour bill aimed to increase severance pay and maternity leave

The National Legislative Assembly on Thursday passed amendments to the Labour Protection Act which will essentially increase severance pay for employees who have been working for their employers for 20 years upward.

The bill will also increase the maternity leave period to 98 days from 90 days, with the mothers being eligible to receive pay for 45 days from their respective employers and 45-day pay from the Social Security Fund.

Under the bill, employees who have worked for their employers for more than 20 years and who are laid off will be entitled to compensation amounting to 400 days of their pay instead of 300 days.

Compensation for the other workers with shorter employment period remains unchanged as follows:  30 days’ pay for employment of 120 days; 90 days’ pay for employment from one year to three years; 180 days’ pay for employment from 3-6 years; and 240 days’ pay for employment from 6-10 years; 300 days’ pay for employment of 10 years upward.

The 98-day maternity leave includes weekends and public holidays as well as annual leave.


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