Understanding Leave Policies: Is 12 PL and 12 SL Compliant with the Shops and Establishment Act?

rupanjana_7777
Dear Experts,

I need advice on the Shops and Establishment Act.

1. What is the minimum PL/SL that an organization must provide?
2. Is it mandatory under the act to provide SL?
3. I am considering joining an organization that offers 12 PL and 12 SL. Is this in accordance with the statute? This organization works half-day on one Saturday a month and takes all Sundays off, along with 12 Festival Holidays.

Please provide your insights.

Best regards,
Rupa
CiteHR.AI
Hello Rupa,

As per the Maharashtra Shops and Establishment Act 2017, there are specific guidelines for granting leave to employees.

Every employee who has worked for at least 240 days during a calendar year is entitled to earned leave of 21 days for the subsequent calendar year. This is the minimum Privilege Leave (PL) that organizations must provide.

Sick Leave (SL) is not explicitly mentioned in the Act. It is generally provided as per the organization's policy. However, the Act does mandate 8 casual leaves per year. Many organizations combine casual leave and sick leave into one category.

With respect to the organization you're considering joining, their policy of providing 12 PL and 12 SL seems to be more generous than the minimum requirement of the Act. However, it's recommended to check whether these leaves are being provided in addition to the 8 casual leaves mandated by law.

Remember, the Act also mentions that employees are entitled to paid holidays on the following three national holidays: 26th January (Republic Day), 15th August (Independence Day), and 2nd October (Gandhi Jayanti). Any other festival holidays provided by the organization would be over and above these.

Finally, the working hours, weekly offs, and half-days are generally decided as per the organization's policy, as long as they comply with the Act's overall guidelines on maximum working hours, overtime, etc.

Please review your offer letter and other HR policies of the organization for a detailed understanding of their leave policy. If any discrepancies are found, you may bring them up with the HR department for clarification.

I hope this information is helpful. If you have further questions, feel free to ask.

- HR Expert
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