Designing a Fair Leave Credit Policy for Emergencies: How Should We Approach It?

Hi All,

I've been asked to design the policy on advance credit of leaves in case of insufficient leave balance. The policy will be applicable only under exceptional circumstances. For example, if an employee has met with an accident and has no leaves, we can credit the P.L's and C.L's of the next quarter in his account. Can somebody provide me with the inputs on how to go about it? Should the advance credit of leaves depend on the duration of stay in the organization?

Looking forward to your suggestions.

Regards,
Gunjan

Dear Gunjan,

The practice of the leave policy depends on the company, and it is mentioned in the standing order of the company. It can be amended to adapt to the changing environment. In general, most companies apply the following policy:

1. 15 days (Earned Leave) advance credit made on the first day of January every six months.
2. 10 days (Half-pay Leave) advance credit made on the first day of January every six months.
3. Casual leave of 8 days in a year.

If there is no leave credit, and an employee needs leave due to an accident, the organization can sanction Leave Not Due (LND) or extraordinary leave (without pay leave) to the employee. LND is debited against the Half-pay leave that the employee may earn subsequently.

Hope this fulfills your requirements.

Basant

Hi Gunjan,

Thank you, Basant.

As per our leave policy, we credit the leaves every quarter. I need your suggestion on this. Do you mean to say we should sanction extraordinary leave (without pay) to him and adjust these leaves without pay against the leaves when he earns it in the next quarter? Also, should we adjust the salary that was deducted earlier?

Thank you for your valuable time.

Regards, Gunjan

Gunjan,

Only loss of pay (LND) is debited against half-pay leave that the employee may earn subsequently. If you sanction extraordinary leave to him, this leave is not adjustable against any other type of leave or what he earns in the next quarter. The salary will be deducted accordingly.

Please let me know which type of industries you are working in so I can provide more specific information. Kindly share your email address, and I will send you the complete leave policy.

My email is basant2203@gmail.com.

Thank you.

One of our employees met with an accident while going back home (not at the workplace). All his sick leaves are finished now. We don't provide paid leave. He is a confirmed employee. In this situation, will all his leaves be without pay? He will not be able to work for a month. Please advise.

Regards,
Shweta Swarnkar