Labour Laws & Ir
Hr Officer

Dear all
I am working for healthcare industry , where it comes under shops and establishment act. My querry is any employee is entiteled for El facility after completion of one year. What about EL encashment.
What is the law for encashment?
once the employee is resigned and withdrawn pf and continued again in the service , in this case are they eligilbkle for gratuity?
For ex one of our employee worked for 7 yrs , in between he had resigned and withdrawn the pf, but from the same month continued the srevice again . is that employee eligible for gratuity?
Anticipating the reply at the earliest. thanks in advance.

From India, Hyderabad
Dear Sindhu,
It is hereby clarified that there is no law which says regarding the encashment of any kind of leaves during service period but at the point of separation if the earned leaves are in his credit up to the limit as prescribed under the law under which he is entitled to have these leaves then those leaves shall be encashed to the employee. In your case you may go through the State Shops Act for this query.
Regarding gratuity if the employee resigns & takes his full & final payment before the period of eligibility i.e. 5 continuous years of service he is not entitled to have gratuity from the employer. In your case, if he have joined the services again then the period for eligibility starts from the date of fresh joining.
Comments submitted as requested.



(Labour Law & Legal Consultants)

From India, Delhi
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