The leave you've mentioned is called as Earned Leave or Annual Leave With Wages or Privilege Leave depending on the nomenclature used by the concerned establishment-specific Labour Law. Simply put, it is a leave earned by the employee by way of working a minimum no of days in a given period so as to avail it of during the succeeding period subject to the prior sanction by the employer and if not availed, it can be accumulated to a certain ceiling. The calculation of such a leave and the employee's right to claim it are conditioned by the no. of days worked by the employee in the establishment.
As you have mentioned, the rate of calculation of such a leave is one day per every 20 days worked.
The employee becomes entitled to it only during the years following the completion of the service of the first year of his employment in the establishment.
As you already know, "continuous service" in a year generally means uninterrupted service of 240 days in the preceding 12 calendar months including the interruptions of weekly holidays, authorised leave, absence due to sickness and employment accident, strike which is not illegal, lock out, lay off or a cessation of work not due to the fault of the employee. In the words of the higher Judiciary it does not mean only the days the employee work with pen or hammer and sickle and being paid for it.If you divide the 240 days by 12, you get 20 days per month.
It is important to bear in mind that only for the purpose of computation of the actual period of continuous service, the permissible interruptions should be taken into account and not for the calculation of earned leave. In other words, the days of permissible interruptions would only determine the eligibility criterion but not the no of days of leave.
2nd December 2018 From India, Salem
So does it mean that an employee is entitled for 1 day of PL for a month. ie., 12 PL in a year.
2nd December 2018 From India, Mumbai