Dear All,
I am working with a Travel Company based in Karnataka. My company was not having HR system and total concentration was only on operations. Know we are introducing HR in the company and I am framing the Policy and Procedures for our company. For leave policy we have mentioned that company will provide 15 days Earned leave. I have following queries:
1.Few employees are working with us for more than 3 yrs., how to calculate their Earned
Leave? Do we need to consider the previous yrs also or we can implement w.e.f. April
2. Can we consider leave year from April to March?
Kindly suggest

From India, Chicalim
Dear Smriti,
As per statory reqirement suposed to consider calander year only Jan to Dec, your company registered under factories act or Shops and Establishment act

From India, Bangalore
You will need to check the rules on minimum amount of leave under the Karnataka shop and establishment act (check the index and to to the chapter on leaves). You must provide the minimum leaves specified in the act.
You need to give leave in current year, proportionately to those who worked last year. The leave rules generally follow calander year. It better to stick to that.

From India, Mumbai
Dear Mr. Rao & Mr. Banerjee,
Thanks for reverting,
My company is registered under Shops & Establishments Act. The act says that PL should be calculate as 1 day for every 15 days worked. Now employees who are working with us from past 3 yrs should get 45 days PL for this yr??? also those employees have been given leaves as and when they wanted else they have been paid for those days . But because there was no HR the details are not secured.
Please suggest how to go about it???

From India, Chicalim
My suggestion would be to compute leave due for last yers work and keep it at that.
Leave must be credited to each employees leave account on jan 1 as above (1 day for 15 days worked in the last year). Then you need to send out copies of leave policy and tell the employees that from 2013 they will be allowed 16 days of leave for full year of work in the previous year and that any leave above that will be without pay.
Forget previous years. It will only complicate things,
Most of your employes will not crib that now they are given documented leave.
If somone comes to you with a complain of unfairness, resolve it fairly with approval of your directors

From India, Mumbai
Dear Smriti,
You have mentioned that your company is registered under Shops & Establishments Act and the Act provides one PL day for every 15 days worked.The EL or PL are normally calculated on year to year basis.The company policies are always made effective from from a prospective date and not from retrospective dates. Any policy made from retrospective date is likely to create discrimination amongst the employees while its implemention or application as such it should always be avoided.The HR policies framed for the employees should be displayed conspicuously or given a wide circulations so that all the employees are aware of it.
BS Kalsi
Member since Aug 2011

From India, Mumbai
Dear all,
What is actual calculation for EL, can we deduct Weekly off / public Holiday / Leaves from calander days i.e. 365-62+++ (52 Sunday + 10 PH ++ Self leaves to taken) =303/15=20 EL?? or any other.

From India, Chandigarh
Dear Ajay,
All kinds of authorised leaves or leaves with wages availed by an employee in the previous year shall consider to have actually worked under an employer for the purpose of calculations of EL. The following kinds of eventualities shall also be considered having actually worked for the purpose o f calculation of EL.:-
(i) All kind of laid off period under an agreement or permitted under the standing orders of the company,
(ii) Absence due to temporary disablement caused by an accident arising out of and in course of one's employment,
(iii) Maternity leave availed by a female for a period allowed under a statute,
(iv) Any cessation of work for any reasons, which is not due to the fault of workers.
BS Kalsi
Member since Aug 2011

From India, Mumbai
Dear Smriti,

I accept the suggestion of Saswatha. Release an Office order/ Leave Policy for PL, Material Leave and Family Planning Leave duly signed by the CMD / MD and circulate the same to all employees and whatever policy that you frame, it will be applicable from the date of its introduction and nothing to be made retrospective effect. As you said, there was not HR earlier and no one has made entries of leaves availed by the employees for the last three years. Those who have completed three years, however, they will become eligible for Gratuity.

As you are now introducing HR related issues, pl go ahead with creating personal files and sit with respective HODs and evaluate each employee Job Description and then find out Training requirement to enhance the capabilities of employees. Prepare organisation chart.

In general (in AP) the calculation of leaves would be 1 day PL for 20 worked days as such a personal must have worked 240 days in the previous year to be eligible for getting PL for the following year. The the period for this would Jan to Dec. For those, staff who could not do, you may have to add Leaves availed during the year to make him eligible for getting leaves. However the total days would be 12 days as per statutes. Now as per Karnataka, you said 1 day for every 15 worked days. Pls look at the attendance / muster register and prepare excell statement monthwise/column wise and arrive at total worked days during the last year.

For any advise/ assistance, please mail me to my email ID / 9849562900

All the best.

Regards=== S Rao/ Hyderabad

From India, Hyderabad

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