Earned Leave Encashment while at time leaving if he leaving before completion of on year of his service in his F&F - CiteHR
Umakanthan53
Labour Law & Hr Consultant
Saswatabanerjee
Partner - Risk Management
Svramana88
Sr Executive
+1 Other

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Dear All,
My doubt as per statutory Should we pay a employees with Earned Leave Encashment while at time leaving if he leaving before completion of on year of his service in his F&F , for different levels . Start with Trainee……. DGM.,
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Dear Venkata Ramana,
Initially the accrual and availment of Earned Leave as the very name suggests commence only after completion of a period of one year of service in the organization based on the employee's attendance in the preceding period. If his exit happens before completion of the period of one year, no possibility of calculation of EL as there is no threshold and therefore no encashment of the same in the F&F.
In F&F leave wages are required to paid even if employee does not complete on year service. It is to be calculated on pro-rata basis.
What kind of an organisation working for ? Depending on the type of organisation, there are that specify when the accrued to the employee. In fact is, it is at the end of the calendar year, depending on the number of days work. If the employee has accrued to him, then is entitled to and encachement of the same. If for some reason, no name is lying in his credit (for example if he didn't cross the calandra year), then he gets nothing.
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