Is Leave Encashment a Right for Employees in NGOs Under Indian Labor Law?

Would like your esteemed opinion on the case of organizations that are registered societies and exempted under Section 80G of the Income Tax Act. As per our rules, we have provisions for EPF, leave, and leave accumulation but not for leave encashment. Additionally, we are registered under the Shops and Establishments Act. Is leave encashment at the time of resignation and retirement a right of employees as per Indian labor law? Please advise.

Whatever EL/PL in the credit of the leave account on the date of termination of his/her employment should be permitted to be encashed. It forms part of the F&F settlement.