Leave Encahsment Calculation

raveesha

Dear All
I have a clarification on Leave encashment. Wages which is to be considered either Basic+da, gross wages or Net salary(take home).Weather it is divided by 26 or 30 days monthly salary.
regards
raveesh

R.N.Khola

Dear Raveesh,
Gross salary divided by26.
Opinion submitted as requested.

Regards,
R.N.Khola
Skylark Associates, Gurgaon(Haryana)
(Labour Law & Legal Consultants)
09810405361

malikjs

dear
there is no law as such whether it should be gross or basic or basic+DA.if it is mentioned in company policy than we can work accordingly .it has to be divided by 26.
regards
j s malik

siddharthc

Hi,
Please refer to punjab shoppers & commercial est. act 1958 for the same.
I guess it should be Basic/22*No. of EL balance subject to max of 30 EL's

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