Sick Leave Accrual: Should Employees Get All Their Sick Days Upfront or Monthly?

Is it mandatory for sick leave to be accrued? Can employees be credited with the total number of sick leaves at the beginning of the calendar year with prorated calculation? In case an employee resigns midway and has availed excess leave, then the excess should be adjusted with F&F. For example, an organization has 12 sick leaves in a year, and all 12 leaves are credited to the bucket at the beginning of the year. The pro-rated calculation is 1 leave every month. Now, if a person leaves in April but has availed 7 leaves, then the excess 3 should be adjusted with F&F.

Sick leave regulations in India

Sick leave, like other types of leave, is regulated either by company policy or by current law. In India, sick leave is typically granted only in establishments that are not factories, mines, or plantations as an employee right. This provision varies depending on the state notification, as the Act governing employee service conditions in Shops and Commercial Establishments is specific to each state. Therefore, if your establishment falls under the category of a shop or commercial establishment, you need to consult your state's Shops and Commercial Establishments Act to determine whether your employees are eligible for sick leave.

For establishments such as factories and mines, where there is no statutory provision for sick leave, the policy regarding sick leave is usually determined by the company.

In the companies I have worked for, if you take more days off than granted by the company, you must accept a salary deduction corresponding to the number of extra days taken. Additionally, this absence can easily affect your monthly or yearly attendance evaluation.

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