Navigating Last Day Calculations: How to Handle Leave Balances and Final Pay?

Hi all, I need to consult on my colleague's official last day. She has tendered on 30 April 2015. Per the employment contract, she needs to serve a 1-month notice, so it falls on 30 May 2015. Since it is a weekend, the last day is 29 May 2015.

Our records show she has 10 days of leave balance. If she chooses to offset all 10 days, her last day should be on 15 May 2015. Am I correct? My concern is, do we pay her salary for the full month or up to 15 May 2015? My understanding is it should be up to 15 May. Please advise. If full month, can I know why?

Thank you in advance!

You haven't made any mention of the following things:

1. What is the type of leave that your colleague has (those 10 days balance)?
2. Have you defined the leave policy for your company? It is in the hands of the company to define the leave policy regarding CL, SL, and EL.

Normally, an employee is eligible to take CL for 12 days per year and EL of 1 day for every 20 days (on completion of 240 days in the previous year). However, the company can define in its policy that 6 days of CL and 6 days of SL in a year, with or without any EL. Additionally, the CL can be limited to 1/2 a day (minimum) to 2 or 3 days (maximum).

In that case, if you haven't defined any leave policy, then she can avail the leave of 10 days together (even if it is a CL), and you have to pay for it too.

I hope I have provided some input for your query.

Regards,
Imran

Her last day should be the 19th as per a 30-day notice period and 10 days' leave balance. If you are adjusting her leave balance against the notice period, then you need to pay until the 19th. If you are allowing her early relieving, then pay her until whichever day she works and pay for 10 days' leave salary. I assume that the leave balance with her can be adjusted against the notice period and can be encashed.

Hi,

Your colleague needs to serve a 1-month notice effective from 30/4/15 until 29/5/15. My advice is as follows:

1. His official last day will be on 29/5/15, and his salary must be paid up to that date.
2. His actual last working day will be on 15/5/15 (Friday) if he uses his leave. If he chooses to continue working until 29/5, you will need to compensate him for the remaining 10 days of his leave (according to your company policy).

Thanks.

Regards,
Badrul