1. As per law employer is not liable to pay any compensation against outstanding Sick Leaves.
2. Please go through leave policy of your company. As per Factories Act there is no specific provision that whether EL should be encashed on Basic & D.A basis or on gross.
3.Employer is not liable to pay Car or Insurance facilities till the completion of notice period, if company asks to leave the company in short of notice period. Employer should pay all the salary components (notice pay) as compensation for the short period of notice.
9th June 2014 From India, Lucknow
Section 80(1) of the Factories Act clearly says what constitute' wages ' to be paid to an employee when he avails the leave or encash the same.It means gross earning .Not basic+DA only.The wording is ,total full time earning including DA but excluding OT and bonus.What ever is paid when an employee on annual leave should be paid when wages are paid in lieu of the quantum of leave.
15th June 2014 From India, Thiruvananthapuram
If your firm is not a factory forget about Factories Act.Read the definition of wages and other provisions of the Shops & Commercial Establishment Act of your state and follow it .Generally there is no law stating that CL/SL should be encashed if not mentioned so in the contract of appointment.
16th June 2014 From India, Thiruvananthapuram