Confused About Leave Encashment Dates: Appointment Letter vs. Attendance Records? Help Needed!

Dear All, I am Ruth, and I need some clarification from all of you. The question is - one of our ex-employees was working from 2006 (our company was small and was not aware of attendance), but attendance was maintained by all staff from March 2007. As he was the HR, he issued the appointment letter, but the date was September 2008. In the letter, he mentioned December 12, 2006, as the appointment date. He left the company in May 2010.

Clarification Needed on EL Encashment

Now, from which date do I need to consider for encashing EL, and in 4 years, he got 3 increments, so which basic (no VDA in our company) do I need to consider? He approached the labor commissioner for the EL payment.

Key Dates to Consider

Which is important: the date of appointment or the date of signing in the attendance register of the appointment letter issued date? Please help me in this regard and how can I solve this problem. However, I have prepared the EL payable list, and I will be waiting for your reply.

Regards,
Ruth

Dear Margerate, As you are in Hubli, your establishment will be covered under the Karnataka Shops and Commercial Establishment Act of 1961. I am enclosing a copy of the act. Please refer to Chapter VI - 15, Subsection 1 (1), which states that every adult employee is eligible for Earned Leave (EL) of one day per twenty working days. You need to calculate based on the last basic for the number of days he is eligible. You can refer to Chapter VI - 15, Subsection 7, paragraph 2, which mentions, "Such carry forward leave should not exceed 30 days." Please apply this for your calculation and submit the facts to the Labour Commissioner.

I have also enclosed a few more files for your compliance purposes in the future to avoid any potential embarrassment.

Regards, S. Sethupathy, Excellent HR Services, Erode.