I need your advise on the following query:
In our company, the rule for rule without pay is to deduct the salary per working day. For example, if the salary of an employee is Rs 26,000 pm and the number of working days in a month are 26 - if the employee takes Leave without pay for 3 days, 3 x 26,000/26 = 3,000 would be deducted. Thus Sundays and other holidays are excluded from both the numerator and denominator.
Is this practice correct?
Thanks and await your response urgently
Tarun
2nd February 2011 From India, Mumbai
Above practice not correct.

Firstly an employer should not calculate monthly salary on the basis of no. of working days for Salaried employment in any company / organization.

Standard calculation for all the organization is as follows,

Monthly Gross Salary (MGS) = Annual Gross Salary (AGS)/12

Monthly gross salary = (MGS /Number of days in that month)
* (Number of days in that month - Number of LWP (leave without pay)
Month with 31 days with 2 lwp (Leave without pay) = (MGS/31) * (31-2) ie. 29
Month with 30 days with 2 lwp (Leave without pay) = (MGS/30) * (30-2) ie. 28
Month with 28 days with 2 lwp (Leave without pay) = (MGS/28) * (28-2) ie. 26

Also "Leave with Pay" should be kept aside while calculating monthly salaries, this has to gets adjusted only when an employee goes for an vacation after informing respective employer officially. Example: If an employee has 5 "Leave with pay" and goes for an vacation for 10 days, an employer can adjust earned 5 leaves here ie. 10-5= 5 days leaves.
8th February 2011 From India, Mumbai
If in case employee has taken a leave for whole month, would he be paid for calender holidays and Saturday & Sunday.(has not attended office at all). Regards, Riya Asst. Manager-HR
28th August 2013 From India, Delhi
Can anybody tell me how leave deduction is applicable in case, as per company policy, 18 leaves are allowed in a year and if an employee has not taken a leave in last 2 months , for the current month, he has 2 leaves, will his last 2 months remaining leaves will be adjusted, with this month leaves?
Please reply.
Regards
Shefali
6th November 2013 From India, Delhi
I want to know that If i have taken 6 days holiday in a month but leaves are taken 2 day in 1 week so how many days salary should be deducted.
7th April 2018 From India
Hi All,
Was looking for 2 clarifications.
Firstly,
Sick leave - 0, Earned Leave - 0
When we employee takes leave without pay on Friday and Monday. Should we consider it as 4 days leave that is from Friday till Monday or only Friday and Monday which is 2 days.
Secondly,
Can anyone share a policy of Leave without pay or unpaid leave policy it might help others in the forum?
Regards,
Mohanraj D M
+91-9663399668
5th June 2018 From India, Bengaluru
@Mohanraj DM
It is a highly common practice for companies to deduct the weekend from payable salary if it lies between a leave period. In my company there is also a rule where an employee will not get weekend's payment if they are absent or on leave for any two days in the preceding week.
Though there are still disagreements in the case if a person is absent for just one day on any side of the weekend, your case seems quite clear and it is highly probable that 4 days worth salary will be deducted.
3rd September 2019 From India, Greater Noida
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