Hello Everyone, I am working as an HR Generalist in a small but growing IT company based in Kerala and I am the only Hr over here. We employ both experienced and junior candidates and the probation period is of 3 months for every new joiner. Current casual leaves are 12 per annum and the technical team is working 24*7 so I am having trouble in formulating the policy. Please help me out with your suggestions to formulate an effective leave policy. It would be great if anyone could share a sample.
Thanks in advance!

From India, Tellicherry
Labour Law & Hr Consultant
Management Consultancy
Nagarkar Vinayak L
Hr And Employee Relations Consultant
+1 Other

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Since you are based in Kerala, you need to follow the provisions regarding Leave as given in the Kerala Shop & Establishment Act. Take them out and depending on your situation you can add to the benefits provided therein and the Leave Policy can be drafted so.
From India, Mumbai
Thank you Sir, adding to that we are on an expansion stage where we are hiring employees out of State also. Hence which is the law to be followed?
From India, Tellicherry

You have to follow the leaves declared by the respective state governments regarding the staff deployed there. For all the Kerala-based employees follow the Kerala rules.
From India, Mumbai
Sir, How is it possible to formulate a common policy for employees in India by considering all the state policy, is there any standard
From India, Tellicherry

Dear friend,

At present there are 28 States and 8 Union Territories in India and to my knowledge most of them are having their own separate State Shops and Establishments Acts as the subject of Labor is in the List III OR Concurrent List. Even though the Model Shops and Establishments (Regulation of employment and conditions of service) Act,2016 has been cleared by the Union Cabinet, it will not become a law binding all States as it is just a model legislation. You may go through section 11 of this Act which deals with leave and holidays. To my knowledge, so far only 4 States have come forward to adopt this Act. Therefore, it will be very difficult to scan all the State Laws and fix the leave at the maximum scale now itself though it is the correct method to be adopted.

Therefore, my suggestion would be to follow the Kerala State Act with condition that leave benefits would vary according to the place of posting outside the State of Kerala as per the State Law applicable to that particular place.

From India, Salem
Nagarkar Vinayak L

Dear colleague,

If one follows the governing principle of uniformity in matters of leave entitlement ( quantum) , accumulation allowed, combining with other types of leave and weekly/ festival holidays and procedure for availing it, it will lend great strength in smooth operations.

In case of pan - India Operations, do some research in leave entitlemens under the respective State Shops Act in which you have operations. Then formulate an uniform Leave policy by choosing the highest quantum of leave under each type ie PL, SL CL and holidays. This will facilitate greatly smooth inter- state transfer of employees.

Maternity leave is uniform under the MB Act and you need to follow it as provided.

You also need to keep in view region and industry practices while formulating leave policy apart from ESI Act if applicable.


Vinayak Nagarkar
HR and Employee Relations Consultant

From India, Mumbai

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