Probation Period Dilemma: Do Extended Probation Employees Get Paid Leave?

Hi, I am Saurabh Jain. I am working with a small organization. We have 6 people in our company on a 6-month probation period. I am in a state of confusion regarding whether if anyone's probation is extended by, let's say, 3 or 6 months, are they entitled to get paid leaves accordingly? Please help me as soon as possible.

Regards,
Saurabh Jain

It depends on the company policy. However, this will help. Please mention in the offer letter that the PL can only be availed upon the confirmation of an employee. This can ideally be mentioned in the appointment letter, but you can also include it in the extension of the probation letter. Additionally, try to put a detailed leave policy in place. This clause will be self-explanatory, and anyone not confirmed will automatically not be eligible for PL. Hope this solves your issue.

PRIVILEGE LEAVE (LEAVE YEAR JANUARY TO DECEMBER)

(a) All employees will be entitled to 21 days of privilege leave with pay per year. This has to be utilized annually, subject to an accumulation of 42 days, and any surplus leave to the credit of the employee at that time will automatically lapse. Please also refer to corporate guidelines.

(b) Privilege Leave will accrue at the rate of 1.75 days per month (credited at the beginning of every quarter commencing from January: January to March – 5, April to June – 5, July to September – 5.5, October to December – 5.5) and the employee can avail PL on a pro-rata basis upon completion of six months. If an individual leaves after confirmation, he/she will be given pro-rata PL in the F & F settlement. The company shall recover excess pro-rata PL (credited quarterly) in case an employee avails it and then leaves the organization before the end of the concerned quarter.

In general, care should be taken that an employee does not avail more than he/she is actually eligible for at the time of the application. Exceptions can be made by the HR Manager and GM on a case-by-case basis based upon the necessities.

(c) HR will apprise Department Heads of the staff authorization of PL in the first week of the leave year. Employees, in general, shall submit a PL plan (spread over in 3 occasions) at the beginning of the year. Department Heads will plan their annual PL programs. In preparation of the annual PL program, Department Heads will consider operational commitments, even spread of leave, and the domestic needs of their staff.

Maximum staff should ideally avail of PL during the lean periods. This will be discussed with Department Heads and then placed before the General Manager for his final approval in the month of December. It will then be implemented thereafter as approved. Department Heads may, at their discretion, make changes in the approved leave program as dictated by the exigencies of the situation, provided the basic parameters are not changed. The sanctity of operational commitments has to be upheld at all times.

(d) Staff applications for privilege leave have to be made at least 15 days in advance to enable the sanctioning of the same.

(e) Availing of PL is subject to three times a year. In order to maintain the balance in the work areas, the minimum number of privilege leaves one can avail at one time is 3 days and not more than 15 days at a time. If one needs to go for more than 15 days, he/she can be given under special sanctions and citing the reasons thereof.

(f) No leave is sanctioned/granted during the notice period of an employee.

(g) Employees proceeding on sanctioned PL and submitting resignation after the salary gets credited is questionable, and in such cases, the employee shall not be sanctioned his PL. This will be unsanctioned leave and subject to disciplinary action. All legal dues to the company should be recovered, including the salary excess paid in such cases.

(h) Balanced privilege leave, if any, is encashed on the basis of basic salary while separation at the time of full and final settlement.

(i) Where privilege leave availed is ‘prefixed’, ‘suffixed’, or ‘prefixed and suffixed’ by a holiday or weekly off, it will not be included in computing the number of privilege leaves availed. However, ‘prefixed’, ‘suffixed’, or ‘prefixed and suffixed’ of holiday or weekly off should be a working day.

(j) Where a holiday or an employee’s weekly off falls within the period of privilege leave claimed by the employee, then such holiday or weekly off will be included in computing the number of privilege leaves availed.

(k) All privilege leave taken for three days and above on account of illness is required to be supported by a medical certificate.

Regards,
Viraj

Thank you very much for your reply. I need to know if there is any rule in HR policies that allows for an extension of the probation period by 3 months, resulting in an increase in employees leaving as per the extension. Is there flexibility in HR policies for this scenario? I am interested in including a provision in my HR policies where if the probation period is extended, employees' stays should also be extended accordingly.

Your prompt response in this regard will be highly appreciated.

Regards,
Saurabh Jain

Dear Saurabh, as mentioned earlier, you can design your own leave policy as long as it is fair. Please mention the clause that the PL can be accumulated but can only be availed on confirmation. For example, say 30 days PL per annum. Now, an employee will get PL on a prorated basis from day one, at the rate of 2.5 days a month. This leave will be accumulated until the employee is confirmed. Once confirmed, the employee can avail of the leave. If not confirmed, the leave will accumulate until the employee gets confirmed. If an employee resigns during the probation period, you don't need to pay for the accumulated leave. If confirmed, then the PL balance can be paid in the final settlement.

Regards,
Viraj

Unavailed leave can be carried forward up to a maximum of 30 days. Let the leaves accumulate during the probationary period. Once the employee is confirmed, they can avail of the leaves. It's at the company's discretion how often the employee gets leave. At the end of the year, the leaves can be encashed, and any excess leaves will lapse.

Dear Shreekanth, If the person has exhausted all his six (fixed for a 6-month probation period) leaves allotted for the 6-month probation period, and if his probation period is extended for 3 more months, can we increase the PPL leaves according to his extended period? Can we implement such a policy? Will there be any problems according to HR rules?

Regards,
Saurabh Jain

Understanding Probation Leave Policy

Please understand the concept. Paid Leave (PL) is generally not availed during the probation period. It can only be accumulated and availed once confirmed. If you have taken a call and allowed the employee to avail PL, then it's okay. You can further extend the leave to the employee as long as your company is comfortable with it, though the same is not advisable. Please stick to "PL is generally not availed during the probation period. It can only be accumulated and availed once confirmed."

Regards,
Viraj