Andhra CM approves gratuity, paid maternity leave, and retirement age hike for ASHA workers
Team Finance Saathi
01/Mar/2025

What's covered under the Article:
- Andhra Pradesh CM approved gratuity payments of ₹1.5 lakh for ASHA workers completing 30 years.
- ASHA workers will now get 180 days of paid maternity leave for their first two deliveries.
- The retirement age for ASHA workers has been increased from 60 to 62 years.
Andhra Pradesh Chief Minister N Chandrababu Naidu has announced significant benefits for Accredited Social Health Activists (ASHA) workers, recognizing their invaluable role in the state’s healthcare system. The CM approved gratuity payments, an extension of paid maternity leave, and an increase in the retirement age, benefiting over 42,752 ASHA workers across Andhra Pradesh.
Gratuity for ASHA Workers: A Major Retirement Benefit
In a landmark decision, the Andhra Pradesh government has introduced gratuity payments of ₹1.5 lakh for ASHA workers who complete 30 years of service. The CM emphasized that this initiative aims to provide financial security to ASHA workers upon retirement, acknowledging their tireless contributions to public healthcare.
ASHA workers play a crucial role as the bridge between rural communities and the healthcare system, assisting with maternal care, vaccinations, and health awareness programs. Recognizing their dedication and long-term service, the government has ensured that those who serve the healthcare sector for decades receive a respectable retirement benefit.
Paid Maternity Leave Extended to 180 Days
Another significant reform introduced by the Andhra Pradesh government is the approval of 180 days of paid maternity leave for ASHA workers. This benefit will be available for the first two deliveries of eligible workers, ensuring that women in the workforce receive adequate time to recover and care for their newborns.
With this decision, ASHA workers in Andhra Pradesh will now have access to longer maternal care benefits, aligning with government efforts to enhance social security measures for female healthcare professionals.
Retirement Age Increased from 60 to 62 Years
The Andhra Pradesh government has also announced an increase in the retirement age for ASHA workers from 60 to 62 years. This move allows experienced healthcare workers to continue their services for an extended period, ensuring continuity in the state's primary healthcare initiatives.
With aging workforce concerns in rural healthcare, this decision not only offers financial stability to ASHA workers but also ensures that their experience and skills remain available to the community for a longer time.
ASHA Workers’ Struggles and National Attention
While Andhra Pradesh has taken proactive steps to recognize and reward ASHA workers, their struggles continue in other parts of India.
On the same day, Union Minister Suresh Gopi assured protesting ASHA workers in Kerala that their demands for an honorarium increase and retirement benefits would be discussed at the central government level.
Gopi, speaking to reporters at a protest venue in front of the Kerala Secretariat, expressed solidarity with ASHA workers and promised to take up their concerns with Prime Minister Narendra Modi and the Union Health Minister.
Why These Benefits Matter for ASHA Workers
ASHA workers are the backbone of India’s rural healthcare system, assisting in maternal and child health, disease control, and immunization programs. However, their work is often underpaid and lacks social security benefits.
The recent decision by Chandrababu Naidu to introduce gratuity payments, paid maternity leave, and a retirement age hike is a progressive step towards ensuring better financial stability and welfare for these workers.
With 42,752 ASHA workers benefiting from these policies, Andhra Pradesh sets an example for other states to follow.
Future Implications: Will Other States Follow?
While Andhra Pradesh has taken the lead in improving ASHA workers’ benefits, other states are still facing protests and demands for better wages and social security.
With the Union Minister acknowledging ASHA workers’ struggles, there is a possibility of a national-level discussion on increasing honorariums and retirement benefits for ASHA workers across India.
The Andhra Pradesh government’s decision sets a precedent that could influence other state governments to introduce similar welfare schemes for ASHA workers.
Conclusion
The Andhra Pradesh government’s move to grant gratuity payments, extend paid maternity leave, and increase the retirement age for ASHA workers is a major step toward recognizing the invaluable role these healthcare activists play.
With over 42,752 ASHA workers benefiting, the decision is expected to enhance financial security, improve working conditions, and set an example for other Indian states.
As ASHA workers continue to demand better wages and benefits nationwide, this reform in Andhra Pradesh could trigger further policy changes at the central and state levels.
The Upcoming IPOs in this week and coming weeks are NAPS Global.
The Current active IPO are Balaji Phosphates, Shreenath Paper.
Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.
Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.
Join our Finance Saathi Telegram Channel for Regular Share Market, News & IPO Update.