Can Loss of Pay be regarded as leave like earned leave/casual leave?

Dear Sir,

Can Loss of Pay (LOP) be regarded as leave, similar to earned leave, casual leave, and medical leave?

It is the same as LWP (Leave Without Pay).

Hope the above brief answer suffices your query.

Who are you? An HR, an employee, or a student? And what is the purpose of asking this question?

You have not mentioned the reasons for applying and/or granting the Leave on Loss of Pay. If the LLP is on medical grounds, then it can be treated as continuous service. If it is on other grounds, then if the period exceeds 30 days continuously, it is treated as a break in service. If the period of absence exceeds one year, then the person is deemed to have been terminated from service. You have to frame rules in advance for protecting your interests.

R P Ramanathan, Advocate 09994675721

LWP (Leave Without Pay) is not like EL or CL, which are leaves with pay.

Varghese Mathew

Dear friend,

Others have explained in detail. You may please note that 'Loss of Pay' leave is not ordinarily granted. Only under special circumstances is such leave granted when an employee does not have any other leave, such as CL, EL, SL/ML, in the credit of their leave account. In some establishments, especially in Government/PSUs, it is known as 'Extraordinary' or 'LWP' leave. As it sounds, it is an authorized leave under special circumstances, such as on medical grounds or for higher studies, etc. Whether it will be considered for computing 'Continuous service' depends on one's leave policy and on such grounds.

When an employee is absent without approval of any kind of leave, they will be considered as absent and will earn no pay, apart from being subjected to disciplinary action. Many establishments' leave policies will define what 'Loss of Pay' leave is, under what circumstances it can be allowed, the maximum period that could be allowed, and other stipulations.

Hi EL, SL, PL, etc. are granted based on the company's policy for an employee to enjoy their leave with wages. However, Loss of Pay is something different, which is like a "no work, no pay" clause; an employee who has taken leave with no leave balance will be considered as LOP/LWP. Even uninformed leave could be considered as LOP despite having leave balance.

Dear Sir,

Loss of Pay Leave is not mentioned in any Labour Acts. However, in factories, when there is no production activity during a certain period, employees, instead of reporting for duty with no work assigned, opt for loss of pay leave to attend to personal matters. Management typically grants this leave liberally during such times.

Usually, after utilizing paid leaves like CL, Earned Leaves, and S.L, employees may take this unpaid leave with management approval. The process can vary between different factories.

D. Gurumurthy HR & IR Consultant Hyderabad.

LWP is never treated like authorized leave - Earned Leave, Sick/Medical leave, or Casual leave. It is allowed only in cases where there is no leave due to the credit of the employee concerned, and the circumstances are so vital that they have to be looked after, for which LWP is the only way. In some organizations, LWP is treated as a break in service, i.e., the period of LWP is deducted from the total period of service rendered with that company. A record of it is maintained in the personal file of the employee concerned. This affects the amount of Gratuity at the time of retirement/superannuation and reveals a bad impression about the regularity of the employee. So on and so forth, hence it should be avoided to the very best efforts.

AK Jain