Policy For Earned Leave - Factories Act - working days.. CiteHR
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sjj_hrm Started The Discussion:

Dear all,
Kindly guide me onthe policy for Earned Leave in the organisation.
Is there any limit decided for the same like 18 EL in a year.??
Or it differs from company to company.??

Looking towards your replies.

thanks & regards,
:icon4::?::icon1::?:
Swapna
Member CiteHR

Madhu.T.K -  Member Since: Sep 2007
Subject to provisions of the Factories Act/ Shops and Establishments Act/ Plantations Labour Act/ Mines Act, and certified Standing Orders of the respective organisation, earned leave will differ. Therefore, if an establishment covered by Factories Act allows EL at the rate of one day for every 20 days worked in the previous year, an organisation covered under Shops and Establishment Act (a State Act and therefore, subject to change) may have to give 12 EL every year and so on. An organisation may give EL better than that provided under the basic Acts in this regard provided the same is emdodied in the Standing Orders. For firms not having standing orders also this can be applied. In short EL policy is purely an internal matter guided by the general policy of the organisation. Only thing is that EL should not be less favourable than what is provided in the Factories Act, Shops and Establishments Act or Plantations Labour Act, as the case may be.

Regards,

Madhu.T.K

sriharsha -  Member Since: Jun 2007
Dear SJJ
we give 1.25day EL/PL per month if an employee compleated 1year service(He must be worked at least 240days in that year)then he elegible for EL/PL i.e.,15 EL's per year.comming to Factories side 1 EL/PL per every 20days then it will goes to 18 EL's.
Minimum 240 working days is required to eligible for getting EL/PL
Shops and Establishment Act 1.25day per month i.e., after compleating One year 15 EL/PL
Factories Act 1day per 20days i.e., after compleating one year 18 EL/PL's

sujatha_m249 -  Member Since: Jun 2008
Dear Madhu Sir/ Sriharsha Sir,

Thanks for the information provided on PL/ELs.

I would like to know that, whether an employee who is still in the service with the company can encash his ELs? if yes, pls. tell me the procedure (i know that PL/ELs will be given to an employee at the time of his/her releaving).

For example: If an employee accumulated (didn't used) 15 Nos. of PLs of last year and for this current yr. he is eligible for another 15 Nos.

Now, the employee wants to encash his last year 15 Nos. of PLs. is he eligible for the same to encash now? what is the procedure to do so?

Kindly provide the information on this.

Thanks in advance.

Sujatha

Madhu.T.K -  Member Since: Sep 2007
EL/PL can be either accumulated subject to a maximum fixed (as per Factories Act it is 30) or encashed. It is not necessary that it shall be encased only at the time of leaving service but it can be done while in service also.

Regards,

Madhu.T.K

kraos_1954@yahoo.co.in -  Member Since: Jun 2008
Dear Sriharsha,

Under Factories Act one EL for every 20 actual working days subject to a minimum of 240 days working. The EL can't be 18 because nobody will work for 360days because a minimum of 7 CL, 53 W off & 7 Public holidays and all will be there.
Thanks and regards - kameswarao

sahoo_sukumar1982 -  Member Since: Nov 2008
:oswapna

Its totaly wrong information one canot get 18 El In an one Year In 20 Days Working days one get One El. Its Encashed if U have having Balance Of El After Completing Of Year

Thanks

Sukumar Sahoo

pravinpraj -  Member Since: Mar 2008
Hi,
Just an additional question on EL
I would like to understand calculation logic of saturday's and sunday's during earned leave. If someone goes on earned leave for 20 days. can we calculate weekly off's which falls in between EL? or otherwise..

Pravin

Amitmhrm -  Member Since: Feb 2007
Dear Swapna,

It differs from State to state.
Go through with the Shop & Establishment Act of your State, you will find the minimum numbers of EL, SL and CL as alloted by the Act. You may design your leave policy beyond the alloted days but you can't minimise the same from the fixed days.

Regards,

Amit Seth.

vkcprism -  Member Since: Feb 2009
Hi, this is chaithanya and i am working as a executive i hav small doubt can any body clarify this

Employees shall be entitled to 45 days of Earned Leave every year.

2.2 In the case of new joinees, employees will be eligible for leave only on completion of one year of service.
YEAR shall mean Year starting on 1st Jan every year with effect from 1st Jan, 2007.

3.2 Leave earned in the previous year is credited to the employees account on 1st Jan every year.
I hav joined in 1st May 2008 and when i will get the eligibility to get EL




 
 
 
 





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