Hi, We are a small IT company in Gujarat. We are in the process of implementing a new Leave Policy. What we are planning to do is give 7 Casual Leaves, 12 Holidays and 13 Paid Leaves. Now here is my dilemma,
Management wants to make a provision that PLs are available only to the employees who have completed 1 year with us. Also, while CLs would be on pro-rata basis, PLs will be credited to their account at the beginning of each year. PLs would also be carried forward, if unused.
What exactly does PL mean? Can we keep such provisions as mentioned above? Does Sick Leave come under PL or do we have to provide for them separately?
I hope I am clear in my doubts!

From India, Mumbai

PL stand for Privileged Leave or Paid Leave. These are usually earned leave i.e one has to work to earn them. It is usually disbursed on monthly basis rather than credited in beginning of year.
So, PL will be gradually added and when they completed 1 year, they will be eligible for complete 13 PL for every year.
I would suggest you impress on your management to club all Leave (expect Holiday) together. in your case PL and CL = 20 days. The advantage is that HR and reporting manager won't have an additional burden to account what would be CL and PL.
PS: Do you have PL over and above your mentioned paidleave. and CL. \

From Saudi Arabia, Riyadh
Hi Ukmitra,
As I have mentioned in my post, we have are planning for 7 Casual Leaves, 12 Holidays and 13 Paid Leaves. Over and above the CLs and the PLs, there would be Public and Festival Holidays.
Do we need to include more?

From India, Mumbai

Hi Megha,

Thanks for clarification.

First you have to separate Holiday from CL and PL from the definition of your leave. Holidays, Public Holidays and Festival are separate and are not part of your Leaves policy.

Leaves in India are governed by Section 79 in The Factories Act, 1948 and Shop Establishment Act. If I am not wrong Gujarat had adopted Bombay S&E Act.

Here are links with excellent write on leave Policies:

Section 79 in The Factories Act, 1948 - Leave Policy in India, Maternity Leave, Paternity Leave - India, Paid Leave, Sick Leave, Earned Leave, Maternity Leave in India

So, in your case I feel, you should implement Annual Paid Leave as per Factories act 1948. This PL can be credited every month except LWP (Leave without pay) days. CL maybe credited beginning of year without carry forward option.

Hope it is helpful.

From Saudi Arabia, Riyadh

Hi Megha,
I understand your queries and concerns.
Please understand that while implementing the Bombay Shop and Establishment Act, you also need to know that after completion of 240 working days in an organization, a person is entitled for a 21 days paid leave.
Considering the same, My Advice is to make sure that you implement the correct Leave Structure. You can go ahead with either 21 paid leaves, 7 Casual Leaves and 7 Sick Leaves or can club altogether to make it 30 Paid Leaves of which you can make the employee mandatory to take all Casual, Sick or Paid Leaves from the said quota itself.
For any queries, and details on the notification please email me on or call on +91 9712600350.
Dr. Urjit Kavi
Ph.D. - HR, PGDBM - IR & PM, MBA - HR & Ops.

From India, Delhi

In the context of a leave policy or human resources, "PL" commonly stands for "Privilege Leave." Privilege Leave is a type of leave granted by an employer to employees, allowing them to take time off from work for personal reasons such as vacation, personal appointments, or any other personal matters. It's a form of paid leave that employees accrue over time, usually based on their length of service or as per company policies.

Privilege Leave may also be referred to as Paid Time Off (PTO) or Annual Leave in some organizations. The specific terms and conditions regarding accrual, utilization, approval process, and carry-over of Privilege Leave typically depend on company policies, employment contracts, or applicable labor laws in the respective region or country.

From India, Thane
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