Is It Fair to Deny Sick or Paid Leave During Notice Period? Share Your Company’s Approach

We are in the process of revisiting our HR processes and policies and would like to understand the best practices. In my current organization, we don't allow employees to avail any sick/casual/paid leave during the notice period, and my legal team is suggesting to continue this practice. I would like to know the practice in your organization. This data will help us in consolidating and building a better policy for our employees.

Neither management nor employees can control illness. If an employee falls sick and has genuine medical documents to prove illness, their leave cannot be denied. Leave due to an employee cannot be forfeited.

Hi Sameena,

Generally, many organizations do not allow casual or paid leaves during the notice period of an employee. However, sick leave is something that is debatable. The best practice would be to let the employee avail the sick leave during the notice period if required and adjust the financial equivalent during his or her full and final settlement.

Hope that answers your question. Please feel free to ask if you have any other queries.

Regards,
Sairam Bandi
Email - sai@kredily.com

Separation from the company and eligibility for leave are two independent issues. No labor law has a provision to prohibit an employee's leave just because he/she has submitted a resignation. Any decision or policy related to employees must be compatible with the prevailing labor laws. You may provide more than what the law stipulates, but not less. In your case, you are depriving employees of their legitimate dues. What justification will you give if you receive a notice from the labor officer?

Thanks,
Dinesh Divekar