Is Our Company's Leave Policy Legal? Seeking Advice on Compliance and Risks

Dear All,

Our company is a software service company with an employee strength of 70+. We have a leave policy that allows employees to avail a total of 12 days of CL, 3 days of SL, and 7 days of EL. Additionally, our employees have the last Saturday of every month off and a total of 11 days of gazetted holidays. I need to know if this leave structure complies with the law. If not, what should be the ideal policy as per the law? Can an employee take any legal action if we continue with the existing policy?

Thanks and Regards,
Manas

Dear Manas :D :) :lol: :lol: :o

Please look into the Shops & Establishment Act as applicable to Delhi since you would be a registered firm thereunder. Any divergence from the statutory provisions could result in being hauled up by the Inspector under the Act.

Regards,
Kk Nair :idea:

Dear all,

I am expecting some more suggestions on the same. Can anyone help me with how I can change the existing policy while keeping the number of total leaves the same?

Expecting your suggestions... 🤔❓😄

Manas

Dear Manas,

I completely agree with Prashant regarding compliance with statutory norms. As per your leave structure, I find it to be very peculiar and non-conducive to employees. If you want to keep the total leave the same, then don't categorize it under Casual, Sick, and Earned; just put it as Leave.

Kind Regards,
SC