Leave And Attendance Policy - CiteHR
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Dear seniors,
We are a company registered under Factories Act., based out of Noida.
In our organization, we give 27 leaves per year (Leave cycle= Apr to Mar), i.e. EL-15, CL-7 & SL-5.
The company has stopped Leave Encashment and Leave Carry forward since 2008, and encourage employees to avail there leaves in the particular year/leave cycle, and any remaining/unutilised leave during the particular leave (including EL) cycle gets lapsed.
Also, there had been raised points in regards to deduction of employee’s salary for the leave taken during their probation period.
I hereby request you all to guide me to draft a leave an attendance policy for my organization in a manner which would shall takes care of staff as well as company.
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Dear all, so many views, but no reply.. please do put your valuable contribution.. I accordingly, then would suggest the policy to the top management
If you are registered under Factories Act, you need to give only earned Leave. However, if you have extended CL and SL, you can not withdraw now.

Rules pertaining to EL shall be eqaual or better than what is provided in factories Act

1. Earned Leave

Factories Act provides for one day for every 20 days of work and more or less one will get between 12 days and 15 days

in a year. In terms of number, you have nothing to change. However, unutilised EL shall be allowed to be carried forward to

next year, Sch accumulation is allowed for three years leave . You can refer to Factories Act for more detailed calculation

Management can not draft a policy stating that one should exaust leave in the same year.

Encashment of leave is not provided for in Factories Act for the employees who are in service. Only if an employee resigns or

retires, balance unavailed leave shall be encashed. If you draft your own encashment policy, Factories Act does not prohibit

as long as you provide for enacshment at the time of resignation and retirement as well.

2. Casual Levae

there is no provision in Factories Act regarding CL. It also can not be carried forward and encashed

3. Sick Leave

There is no provision under Factories Act for SL This also need not be encased or allowed to be accumulated.However, allowing

accumulation will help employees.

Dear Kaushambi,
Words given by Mr. T.Sivasankaran are correct. because EL can carry forward and if your company will make policy for encash you can.but no provision in factory act.
as a Sick Leave if your company make policy for carry forward then you can but it will not encashed.
CL employee should avail in this year only it will not either carry forward or encash.
HR/Admin Officer
Thanks Ashok for the Info. What if the EL is not being utilized and company also does not have the policy to carry forward the same? will there be any legal implications of the same?
Hello Sir,
The above suggestions will help me in formulating new policies for leaves. Just want to ask about Maternity leave. Should I include it in my policy making process, if yes then for how many days? Please suggest on this. I am planning to make the policy easier. If I'll remove SL only instead of EL and CL or I'll go with EL only, will there any problem? Whatever I am planning, it should be under Factories Act. Please suggest.
Right now we are having EL-15, CL-7, SL-7.
EL/Pl/Al is compulsory to give and Maternity leaves are as per
maternity Act, means it can not be deducted from
PL/El/AL balance.
U can make maternity leaves policy as per its act to avail
maternity leaves for employees not under ESIC Act.where 15000p.m. gross is limit and ESIC employee gets maternity benefits from and under esic act.
Dear Kaushambi,
The EL in most of the organisations are allowed to carry forward to next year though there is a limit of accumulation , for e.g if the EL is 22 and the accumulation limit is 90 days , means when the employee accumulated over and above 90 say 105 , he/she can go for encashment of 10 ELs or 15 ELs based on co. policy, then out of 100 , if encashment is 10 balance 90 will be kept in his/her account ,rest 5 will lapse. SL can also be carried forward but CL get lapse at the end of year.
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