Optimizing Salary Calculation and Leave Policy: Insights on Attendance Consideration

Dear Sir,

As per our policy, we do not consider Sunday when calculating salary. Our salary calculations are as follows: Monthly Salary: Rs. 35,000. In November, total working days excluding Sundays are 26 days.

The calculation is as follows: 35000 / 26 = 1346 x present days. However, the employee was absent from the 16th of November to the 20th of November, which amounts to 5 days of absence.

Regarding whether Sunday should be included in the count of absent days as it falls in between the days the employee is absent, please advise.

Regards,
Sujata

Hi Sujata,

It is a little ambiguous. You should prepare a policy on "intervening of holidays & weekly offs between leaves/absences" and make it a part of the Leave Policy/payroll policy. Seek your employer's suggestions and follow their guidelines before preparing it. Be cautious as it is a very sensitive issue from the employees' point of view. If you don't address it immediately, it will become very complicated in the future. Make sure you resolve such problems diplomatically.

Vishwanath

Hi Sujata,

As per common practice, we should consider Sundays and other government holidays when calculating attendance for a month. However, you are currently excluding Sundays from the calculation. Please establish policies and procedures to address these issues to avoid it becoming a critical aspect of your job to convince each employee about this matter.

Sujitha, Well said Vasanthi. In many companies, the total number of days in a month is considered for payroll, such as 31, 30, 28, etc. In general, companies process all national holidays and weekly offs (Sundays) as paid days. However, it is recommended to always have a standard policy in writing. Please initiate a policy as soon as possible. Vishwanath

Dear Sujitha,

Since you are not paying salary for Sunday, you should not consider Sunday for LOP calculation. Absent days between the 16th to the 20th are only 4 days. Only companies covered under the Factories Act will follow the 26-day policy.

Balaraman
Chennai

Hi Sujata,

I am in line with the response of Vasanthi. It's better to frame the policies and procedures in writing for such situations to avoid future conflicts.

Yesuraja A

Hi Sujatha,

First, you need to frame the SOP and leave policy approved by your top management. Regarding your subject, if the employee is not present on the weekend and week beginning, i.e., Saturday and Monday, Sunday is calculated as a loss of pay (LOP). If the employee is present on Saturday or Monday, then Sunday is considered a payable day.

S. Ayyappan