Is My Company Right to Reduce My Earned Leave Encashment from 100 to 50 Days?

Recently, I have left my job. In my previous job, I had encashed 165 days of earned leave. In my recent job, I had around 180 days of earned leave. I was in my job for 8 years. When the time came for settlement, the management told me that I am eligible for 100 days of encashment. Now, they are saying that according to new rules, I will only be receiving 50 days of encashment. Is this true? Please let me know. Thanks.

Most probably, it depends on the company. They design their own HR policies. For example, in our company, we are allowed to pay for a maximum of 45 days for leave encashment. However, in my previous company, I never received paid leave encashment. It's better for you to utilize those leaves.

Regards,
Vinay Kumar

The EL can be accumulated only up to 30 days as per the Factory Act. Apart from this, it purely depends upon the policy of the company.

Regards,
Alphonse