EL-Encashment

nirmal rana
Dear Friends,
Mr George has rightly said that EL accumulation or encashment is totally depended upon the policy of the company and the rules are generally different for different level of people. Such as the workmen/associates will have EL as Factories Act 1946/ Certified Standing Orders where as Officers/executive have generally more number of EL. In some companies the criteria of grant of EL to Officer is based on the total length of service and/or experience in that organisation. So there exist the subjectivity of practice on allotment of EL to employees.
Similarly the encashment also have different connotations. But most adopted practice is to encash the accomulated El with the last drawn salary which include Basic and DA components only.
nirmal
kangeyan
Mr.Sumit kumar
Why should we consider only 26 days rather than 30 or 31 days for encashment?.
Moreover as per the factories act, only the gross salary to be considered but companies still persist with encashing leave on the basic+DA pay. Correct me if I am wrong
regards
kangeyan
Krishna T B R
Dear Ramesh,
Payment of EL depends on the salary you deduct ( in case you deduct Gross Salary for any specific reason - example: LOP, Absent, No Proportionate Leave etc) then you have to pay Gross Salary as EL (current Gross Salary). If you deduct basic salary for above said reasons, then you have to pay EL as per Basic Salary (Current Basic Salary).
Regards,
Krishna T B R
anil_2656
Hello,
i m hr head in a indian multinational co.i need simple help from all of u,is that what is the provision and minimum accumulation of the el/pl for past years in u.p..
Regards
anil kumar
sumitk.saxena
Dear Kangeyan,
you are right existing salary would be consider for encashing leave but consideration of 26 days only because as calculation of leave should be done on working days not on paid days so 26 days should be the working day for the months bearing 30 or 31 days and 24 days should be when the months fall of 28 or 29 days.
thanks & regards,
Form,
SUmit Kumar Saxena,
9899669071, 0120-4131277
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