Balaji.venkatesan
Payroll, Statutory Compliance & General
Jituraj15
Sarvice
Vinni_m
Human Resource Development
Raj Kumar Hansdah
Shrm, Od, Hrd, Pms
Maheshb79hr
Human Resource
Shilpavy
Hr- Exe Admin
Jeets
Service
Suneels
Sales And Marketing
+4 Others

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In our company One person complete training period then provision period after that he conformed. On which days we should calculate for leave days?

Training period + provision period

Only provision period

Our company standing order does not mention this topic then what I do plz help me

Dear Raj,



FYI Its not provision period, its Probation period.



Not only in ur company where as in every company a fresher gets appointed as Trainee for a minimum of 6months and later depending upon his performance he/she will be escalated to the next level - Probation period where his/her desination changes with a hike in their salary.



For trainees specified amount of leave will be allocated during their training period. Other than trainees, employees under probation and for confirmed employees leave is calculated annually.



I will provide you the process that i follow for leave calculation in our company:





Leave Calculation:
    • As per leave policy the leave year for computing all types of leave will be from 1st January – 31st December. Based on the need / reason and length of leave, the following categories of leave can be availed: CL, SL and EL
    • For a permanent employee CL: 7days, SL:7days and EL:8days will be credited on the 1st – January of the calendar year.
    • For employees falling under Training and Probation period full SL: 7days will be credited on the 1st January of the calendar year irrespective of the date of completion of their training or Probation period.
    • After completion of Probation period the balance CL and EL will be credited to the employee based on the following leave calculations. Refer Leave policy to understand the leave procedure.
Trainee / Probation employee – SL calculation:

For Ex: 1 if a new employee joins on June 1st 2009 as trainee/ probation then the leave calculation is as follows: (For Trainee / Probation only SL will be credited)



SL Leave Calculation:



Total SL credit for the calendar year

-------------------------------------------------------------- * Months remaining in the calendar year

Total number of months in the calendar year









As per the above example:




  1. Total SL credit for the calendar year = 7days
  2. Total number of months in the calendar year = 12months
  3. Months remaining in the calendar year = 7months(As employee joined on June 1st so June 1st – Dec 31st = 7months, June month will be considered only when employee joins on or before 15th of that particular month or else the count starts from next month)




As per the formula the calculation is as follows:



7

--- * 7 = 4.08

12




  • Therefore 4days of SL will be credited to the new employee. Thus new employee joining as trainee / probation will get 4days as SL for the entire year
  • If the calculated leave results 4.50 then four and a half days leave will be credited and if it calculated leave results more than 4.5 such as 4.55/4.6/4.7……then the leave will be rounded up and credited as 5days.
  • If a new employee joins as Trainee on 1st January 2009 then SL – 7days will be credited to the employee as per the above formula and this leave credit is for the entire year and it doesn’t mean that when the employee enters into probation on the month of July again leave has to be credited because both trainee and probation employee will be eligible for SL only. Only after the completion of probation period CL and EL will be credited.
  • If a new employee joins on 1st January 2009 on Probation then SL – 7days will be credited for the entire year and as on July 1st if the employee gets confirmed CL and EL will be credited and the leave calculation is as follows :
Confirmed employee CL calculation:



Example: 2 if a new employee joins on 1st January 2009 on probation the employee gets confirmed on July 1st 2009 so CL calculation is as follows:



For CL the leave calculation is as follows:



Total CL credit for the calendar year

-------------------------------------------------------------- * Months remaining in the calendar year

Total number of months in the calendar year





CL Calculation:




  1. Total CL credit for the calendar year = 7days
  2. Total number of months in the calendar year = 12months
  3. Months remaining in the calendar year = 6months(As employee gets confirmed on July 1st so July 1st – Dec31st = 6months, July month will be considered only when employee confirmation is on or before 15th of that particular month or else the count starts from next month)




Calculation as per formula is as follows:





7

------- * 6 = 3.5

12





Therefore 3.5days of CL will be credited as on July 1st for the entire year and if the calculated value results more than 3.5 such as 3.6/ 3.7/ 3.8………then the leave will be rounded up and credited as 4days.



Confirmed employee EL calculation:



Example: 3 if a new employee joins on 1st January 2009 on probation the employee gets confirmed on July 1st 2009 so EL calculation is as follows:



For EL the leave calculation is as follows:



Total EL credit for the calendar year

-------------------------------------------------------------- * Months remaining in the calendar year

Total number of months in the calendar year





EL Calculation:




    1. Total EL credit for the calendar year = 8days
    2. Total number of months in the calendar year = 12months
    3. Months remaining in the calendar year = 6months(As employee got confirmed on July 1st so July 1st – Dec31st = 6months, July month will be considered only when employee confirmation is on or before 15th of that particular month or else the count starts from next month)




Therefore the calculation as per formula is as follows:

8

------- * 6 = 4.0

12









Therefore 4days of EL will be credited as on July 1st for the entire year if the calculated value results more than 4.5 such as 4.6/ 4.7/ 4.8………then the leave will be rounded up and credited as 5days.








dear malini it is very good information and it help to me i not open my id so i am let to finding this information this information clear all point
dear malini it is very good information and it help to me i not open my id so i am let to finding this information this information clear all point
Hi All, Malini really very good info....really appreciable, and this will help me a lot in future. Regards, Shruti Kumawat
malini one employee join then can i calculate bonus for CTC. if i calculate what will happened it is right that we show in his appointment letter.
Hi Malini,
As per tamilnadu shop 7 establishment act there must be 36 days leave per year
for example 12 SL, 12 CL, 12 EL and then SL and EL can forward to next year. Depends upon company policy we may fix the leave like 15 SL, 12 CL, 9 EL. In probation period we reduce the half of the annual leave. Earn leave will comes after completion of one year. I think it might be right but am not sure. I request you to reply for this.

Hello Malini,
It depends on the company policy. In our company we give only CL to the employees who are in Probation period. Then once if they are out that period, they are eligible to have CL, ML etc. Still its up to the company's policy to fix which leaves are to be carry forwarded apart from the basic leaves.

Balaji i agree with u but many companies dont follow these rules. Its purely based on management decision and the same will be framed as Leave policy by the HR. Management seeks to use the max of the employees contributions and hence tend to reduce their leave credit. This is wat happening everywhere.
Apart from this we work for countries outside India and u know in India we have too many festivals too, so too many leaves apart from this company will declare annual leave to employees(CL,SL and EL). Clients outside India will not have so many leaves in their company and management cannot explain all these to the client so tats y they alter and amend the rules
Yes EL should be credited after completion of 1year but again in order to reduce the availing of bulk leave by the employee certain companies dont follow these sort of rules i mean as soon as the employee completes his/her probaion period EL will be credited for the balance months of that calender year

Ya Mahesh,
Just for name sake there are certain rules and regulations. Its purely dependent on the management decisions which is then framed as Company policy. Actually balance EL is encashable but certain companies dont, upon this they say that EL can be carried forwarded for 2yrs only. The explanation given by the management for this is, we brought such rules and regulations bcoz we want ur employees to take vacation and again this is eye wash. So much of work will be assigned to the employee that they hardly find time to take a day off


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