How Many Leaves Should a Startup Offer? Seeking Insights on Employee Leave Balances

I am connected with a startup firm in mobile applications with an employee strength of 40 in Delhi/NCR. According to our Leave Policy, we have 18 PL and 12 CL/SL in a year. One of my directors, who recently joined, thinks that we are offering a very high number of leaves to employees. According to him, in a startup, the number of leaves should be less than 20 in a year.

For the same reason, he has asked me to research startups for their leave balances and the average leave taken by an employee in a year. Please let me know what the number of leaves (PL & SL/CL) should be in a startup and approximately how many leaves an employee usually takes in a year.

To assist in my research, I would appreciate it if you could share your company's data.

Regards,
HR

Hi Careercruise, I'm not aware of the total number of leaves in a start-up company, but I can share my views with you. I'm also working in a start-up company. We are given 12 CLs every year, which means 1 CL every month, and we have 10 national holidays. Additionally, we have Saturdays and Sundays fixed off.

Hope this information helps you.

Regards,
Nisha Sharma
[Email Removed For Privacy Reasons]

There is no special relaxation or special leverage for leaves in any startup companies as far as the act is concerned.

Thank you for your inputs. I know there is no special law/act for startups regarding leaves. I just want to know what the industry trend or practice is for startups in case of leaves. Also, I want to know the average number of leaves an employee usually takes in a calendar year, especially in startups.

In my company, we have a total of 30 leaves in a calendar year (PL=18, CL/SL=12), and the average number of leaves taken by an employee in a year is 20, which I think is quite high. Therefore, we are planning to revise our leave policy. For this, we require some real company data so that we can frame a revised leave policy.

Thank you.

Policy Revision for Leave Eligibility

You can revise the policy for the eligibility of EL/PL, which can be after 240 days. For SL/CL, it will be on a pro-rata basis. However, any policy wherein the benefits are below the criteria mentioned by the Act is unlawful.

You haven't mentioned the state and the Act under which your organization is registered. Every Act is clear on leave. For example, if we consider the Bombay Shops and Establishment Act of 1948, Chapter VII clearly indicates that you need to provide 21 days of leave in a year. Companies are also required to give additional holidays on 26th Jan, 1st May, 15th Aug, and 2nd Oct.

Regards,
Ravi