As per the Shop & Establishment Act in UP, an employee is entitled to 15 days of Earned Leave after completing 12 months of continuous service (including holidays). I have the following query in this context: If an employee leaves the company before completing 12 months in the company, say within 10 months, is he still eligible for EL, and does the company need to pay for EL on a pro-rata basis (for the months served) in his full and final settlement?
As per the existing policy in our company, an employee is entitled to EL after completing 6 months of service. If an employee leaves the company before that period, we do not pay on account of EL. However, if he leaves after his confirmation, i.e., after 6 months, then we pay him for EL for the months he has served in the company.
Thanks and looking forward to an early response.
Regards,
From India, Delhi
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4As per the existing policy in our company, an employee is entitled to EL after completing 6 months of service. If an employee leaves the company before that period, we do not pay on account of EL. However, if he leaves after his confirmation, i.e., after 6 months, then we pay him for EL for the months he has served in the company.
Thanks and looking forward to an early response.
Regards,
From India, Delhi
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If an employee leaves the company before completing 12 months, say within 10 months, is he eligible for EL, and does the company need to pay for EL on a pro-rata basis (for the months served) in his full and final settlement? - Yes
As per the existing policy in our company, an employee is entitled to EL after completing 6 months in the company. If he leaves the company before that, we do not pay him for EL. However, if he leaves after his confirmation, i.e., after 6 months, then we pay him for EL for the months he has served in the company. - No answer for illegal practice
From India, Pune
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As per the existing policy in our company, an employee is entitled to EL after completing 6 months in the company. If he leaves the company before that, we do not pay him for EL. However, if he leaves after his confirmation, i.e., after 6 months, then we pay him for EL for the months he has served in the company. - No answer for illegal practice
From India, Pune
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Dear Prashant, Thanks for your prompt response. I agree that ideally, an employee should receive leave or pay in lieu of that for the number of months he/she has served in the company, irrespective of his employment status. However, I fail to understand from which angle it is illegal not to give Earned Leave (EL) to an employee if he leaves the company before completing a minimum of 12 months of continuous service. Also, nowhere in the act is it mentioned that even if an employee leaves the company before completing his minimum 12 months of tenure, he is entitled to get leave or payment for the period served. As per the UP act, only Casual Leave (CL) is applicable from day one of joining, and even Sick Leave (SL) is applicable after completing 6 months of service. Please clarify. I would request other seniors too to throw some light on it.
Thanks,
From India, Delhi
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Thanks,
From India, Delhi
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Brief Kerla Shop & Establishment Act.pdf