Hi, We have employees who are on third party rolls. I need a standard leave policy where we give maximum 27 leaves which is required as per Shop and Establishment Act. we would like to accumulate PLs upto the limit of 45 days. however we would not like to give leave encashment on separation. can we do this
sonia sarihan
Dear colleague,
Balance Earned/Privilege Leave on separation has to be encashed as per State Shop Act/Rules.
Vinayak Nagarkar
HR- Consultant
As per the Shops and Establishment Act only 5 days per year are [mandatory] to be availed else it lapses and the balance 10 will be taken forward to the next year subject to maximum of 60 leaves. Also an employee can avail up to 8 days of earned leaves for encashment under the Act though not mandatory.
There is no way you can legally stop from settling the leaves so earned at the time of separation.
Thanks and Regards
what are the parameters for leave encasement at the time of final settlement.
Thanks Regards,
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