Labour Laws & Ir
Tejaswy Reddy
Hr Executive
+5 Others

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Our Company credits 15days' of Earned Leave to an employee after the completion of one year from the date to joining. The calculation is that for every 20days' worked, the employee earns one day Earned Leave. My question is that if he avails only paid leave in a year, is he still eligible for 15days' of Earned Leave next year?
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Hi... earned leaves are calculated as one leave for 20 working days. As per my knowledge, Once the EL is paid to the employees the leaves are carry forwarded to the next year and accumulated upto 30 leave days only. If then also the employee didnt take any leave, the leaves will be paid and not carry forwarded further. New leaves has to be calculated.
Hi Walsa,
This is regarding your query on "earned leave". As far as I understand your company is allowing you to earn 15 days leave in a year i.e. @ 1 day leave after 20 days of active service. Now when u avail your 15 days leave or part of your earned leave, u will not be entitled to earn leave during your leave period. Also ensure that some organisation do not allow leave in driblets. I mean to say that in a year 15 days leave can not be availed on various 15 days. Please check up this.
Hi Walsa,
Kindly refer to Shop and Establishment Act fo your state and company policy hand book. As I understand, in general this 15 per year can be carried forward to a maximum number of 45 in 3 years which is governed by Shop & Establishment Act of the state in which the company is registered / operating. If you mean paid leaves are Holidays, weekends, Voting day, etc than all 15 days can be carried forward.
Hi there,
Is it possible that a company can decide about granting its employees the earned leave deviating from the Laws/Acts? As in, can a company design a policy according to which the employees are granted more than 45 days of earned leave (as mentioned by Gyan Mishra) for a period of 3 years?
Let me know about when the Earned leaves to be utilised.They are tqaken when the Casual leaves remaining. Is there any combination of Leaves.
if any employees earned leave balance more then 45. Will his EL will leaps next year or not.
Dear Govind,
If your company allows more than 45 days to be accumulated then you can take leaves according to the policy of the company. Now, if your company policy or the applicable Act says that an employee can accumulate his EL up to 45 days then of course EL will laps which are more than 45 in no.
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