Understanding Annual Leave: Do Weekly Offs and Holidays Count as Workdays?

Hello everybody! Kindly give feedback on the following aspect.

The factory act says that "79. Annual leave with wages.- (1) Every worker who has worked for a period of 240 days or more in a factory during a calendar year shall be allowed during the subsequent calendar year, leave with wages for a number of days calculated at the rate of: (i) If an adult, one day for every twenty days of work performed by him during the previous calendar year.

The clarification needed - when we consider "days on which work is performed," should we consider weekly off, holidays, and leave as working days?

Hi,

Yes, that's why according to statutory law, employees should be given 17 days of earned leave. This translates to one leave day for every 21 days worked (365/21).

Regards,
Navya

The Factory Act states that "79. Annual leave with wages.- (1) Every worker who has worked for a period of 240 days or more in a factory during a calendar year shall be allowed during the subsequent calendar year, leave with wages for a number of days calculated at the rate of:

- If an adult, one day for every twenty days of work performed by him during the previous calendar year. For the calculation of EL, only working days are to be considered.

Dear Friend,

Working days are the number of days the employee has actually worked or marked their attendance in the rolls in a certain month. Weekly offs and holidays are excluded from this.

The paid days are calculated by adding the number of working days + Sundays & Holidays [that he is entitled to] in a certain month. The number of leaves in excess of the balance due is treated as without pay.

This is how we do the calculations. I hope the rest of my friends would agree with this system.

Best Regards,
Debashis

For calculation of working days for Earned Leave, we consider only the present days in the company and the official outdoor duty. On that basis, we calculate the total number of days worked for the month.

Dear all,

We need to consider and work out with working days only, i.e., let us assume if an employee attended 260 working days in a year, he is eligible for 260/2 = 13 days as leave with wages. Please do not include loss of pay, off days, and holidays in this calculation.

Thanks & Regards,

B. RAVI MURUGAN

Hi Dear all,

As per my understanding about the clarification of the calculation of EL:

Q1. Should the weekly off be considered with the working days?

Ans. No. Only working days will be considered.

Q2. Should holidays and leave be considered with the working days?

Ans. Absolutely not, but to determine the eligibility criteria for availed EL, it shall be counted for computation. For example:

During the calendar year:
- Working days: 220 days
- EL availed: 20 days
- Total: 240 days
Now, the individual is eligible to carry forward the leave at the rate of 220/20=11 EL.

This is in accordance with section 79 of the Factory Act.

For further clarification, please feel free to write on this forum.

Regards,
K

No, weekly offs will not be considered when calculating the number of days of performed work. However, recommended leaves with wages will be taken into account when calculating the number of working days.

Thanks,
Amit Gera

Calculating Earned Leave

Do we have to consider last year's earned leave taken for calculating this year's earned leave?

We are only to consider the earned leaves taken by the worker during the year for eligibility purposes. We are not to calculate EL on the EL taken during the year.

Regards, R N Khola