Accumulation and Encashment of EL/PL & SL
So far as the accumulation of EL/PL & SL in the leave accounts is concerned, it's generally followed in most industries that further credits above the maximum-ceiling limits (number of days) automatically elapse. Some industries, as part of agreements with unions, reach a clause where a given number of days, such as about 10 days of EL/PL, is allowed to be encashed every or alternate year uniformly for all willing employees. This arrangement not only helps employees with their financial requirements but also enables the employer to ensure improved available mandays for their production planning. The industry where I was working had this facility. Individuals use the accumulations to be encashed when the need arises, such as for school/college admissions, festivals, etc., if their leave rules permit this facility. This is possible in small industries/firms.
Handling Leave in Critical Positions
In many instances, due to official exigencies, individuals in critical positions may not find relaxed days so that they can avail leave amidst pressing commitments/targets that need to be met. In such exceptional cases, the competent authority, duly vested with administrative powers, relaxes the stipulations and allows a part of CL or EL to remain unutilized to be carried over or encashed, respectively. Some banks and establishments also link the encashment with availing LTA.