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Dear All,
I am working as HR in PVT LTD Company. And we are in the process of establishing an HR system in our company. this si a small company of 20+headcounts. I want to know the Leaves permissable in ayear. If an employee joins in midst of year how do we calculate the pro-rated number of leaves for rest of the year.
Please help me on this.
Thanks
Kalpana

From India, Kochi
shah01ankita
377

Dear Kalpana,

As per shops and establishment act,

1) Employees are entitled to 21 days leaves if they have worked for a minimum of 240 days in the year.

2) If the employee is newly appointed, he is entitled to no more than 5 day's leave for every 60 days work he renders.

3) The payment in such days would be related to the average pay the person recieved in the past 3 months excluding the overtime allowance.

However, please note that this is the minimum requirement prescribed. A company can give more than 21 days depending on its functions.

It is upto the company's management to decide the upper limit of the leaves per year if it is a bare minimum of 21 days.

Many companies have a policy that in the probation period (which is 3-6 months) there won't be any paid leaves.

So depending on your company policy, either on joining or confirmation, the candidate is entitled to the leaves on prorata basis depending on the max leaves allowed by the company.

Hope it cleared your doubt

From India, Mumbai
ajay_ch4
23

Dear Kalpana,

The number of leaves vary from State to State. It will also depend under which Act your company is registered - Shops & Establishment Act/ Factory Act. The leaves may be for a calendar year (Jan to Dec) or financial year (Apr - Mar). Lets take calendar year for calculation.

Assume 21 Earned Leaves and 12 Casual Leaves in a year.

A person joins on 01 Jan. This entitlement is 21 EL and 12 CL.

Joins on 15 Mar - 21/12*9.5 = 16.625 Since the fraction is more than 0.5, it is to be rounded off to the higher figure making it 17. However this may be done only at the time of making the Full & Final settlement and leaving the EL as 16.5 for the year. It is a policy that the HR makes.

Similarly for CL.

For EL, usually companies do not grant EL till the services of an employee are confirmed. However for calculation purposes, EL starts from the day the employee joins and keeps accumulating.

It appears that you are based in Kerela. If that if so, the entitlement is

1. EL - 12 after 12 months of continuous service

2. Sick Leave - 12

3. CL - 12

4. Special CL as applicable in the Act.

EL may be modified to read 12 in a year after services are confirmed on pro-rata basis.

Please feel free to ask any clarification.

From India, New Delhi
varghesemathew
910

Ms Kalpana; If your Co is in Kerala pl call for all your legal information on labour Law/HR Varghese Mathew Tvpm 9961266966
From India, Thiruvananthapuram
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Hi Mr.Varghese.. You’re right..My company is in Kerala. if so the above mentioned criteria are still applicable for our company rite??
From India, Kochi
varghesemathew
910

Kalpana,
If yours is a commercial establishment what Mr Ajay has posted is correct,In addition employees who undergoes sterilisation are entitled for special leave with wages for a period not exceeding;
a) 6 days for male, and
b)14 days for female.
w.e.f the date of sterilisation.
If your is a factory leave will be governes by Factories Act. Leave can be allowed on pro rata basis @l day in a month .
Varghese Mathew

From India, Thiruvananthapuram
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