Hi Folks,
Previously, the company had 28 leaves. All of a sudden, the company reduced the leaves to 23 without any intimation. What is the actual leave policy as per the Factory Act? What is the minimum leave policy for both staff and laborers? Can anyone advise?
From India
Acknowledge(0)
Amend(0)
Previously, the company had 28 leaves. All of a sudden, the company reduced the leaves to 23 without any intimation. What is the actual leave policy as per the Factory Act? What is the minimum leave policy for both staff and laborers? Can anyone advise?
From India
Acknowledge(0)Amend(0)
Dear friend,
A 'policy', in general, is a statement of rational guidelines on a subject matter to be achieved by an organization through some established procedure in tune with certain statutory norms, if any applicable, and practices by convention. Therefore, the leave policy of an organization encompasses the various types of leave to be granted to the employees, their numbers in a year, and the ceiling on their accumulation as per the statutory standards or the terms of the contract of employment.
Viewed from the above standpoint, the Company's particular establishment being a 'factory' as defined under the Factories Act, 1948, the employees are eligible to get only one kind of leave, Annual Leave with Wages, as per the provisions of sec.79 of the Act. However, they were actually getting 28 leaves in total, meaning they were enjoying better customary leave benefits. Therefore, the employer cannot reduce the quantum of leave suddenly at his discretion without following the procedure set down u/s 9-A of the Industrial Disputes Act, 1947.
As per the definition of the term 'worker' u/s 2 (l) of the FA, 1948, anyone engaged in the manufacturing process of the factory, whether directly or indirectly, is entitled to all the benefits of the Act irrespective of his hierarchical status. Therefore, there cannot be any distinction in respect of leave benefits for managers, staff, or laborers as long as their workplace is situated within the area approved as a factory.
From India, Salem
Acknowledge(0)Amend(0)
6108A 'policy', in general, is a statement of rational guidelines on a subject matter to be achieved by an organization through some established procedure in tune with certain statutory norms, if any applicable, and practices by convention. Therefore, the leave policy of an organization encompasses the various types of leave to be granted to the employees, their numbers in a year, and the ceiling on their accumulation as per the statutory standards or the terms of the contract of employment.
Viewed from the above standpoint, the Company's particular establishment being a 'factory' as defined under the Factories Act, 1948, the employees are eligible to get only one kind of leave, Annual Leave with Wages, as per the provisions of sec.79 of the Act. However, they were actually getting 28 leaves in total, meaning they were enjoying better customary leave benefits. Therefore, the employer cannot reduce the quantum of leave suddenly at his discretion without following the procedure set down u/s 9-A of the Industrial Disputes Act, 1947.
As per the definition of the term 'worker' u/s 2 (l) of the FA, 1948, anyone engaged in the manufacturing process of the factory, whether directly or indirectly, is entitled to all the benefits of the Act irrespective of his hierarchical status. Therefore, there cannot be any distinction in respect of leave benefits for managers, staff, or laborers as long as their workplace is situated within the area approved as a factory.
From India, Salem
Acknowledge(0)Amend(0)
Reduction of leave from 28 to 23 without following 9A of ID Act is unfair and against the law. But the leaves that you were enjoying are more than what the Factories Act provides for because the number of leaves to which an employee is entitled is one day for every 20 days physically present in the preceding year. If you really calculate it, it won't be more than 23 days.
From India, Kannur
Acknowledge(0)Amend(0)
From India, Kannur
Acknowledge(0)Amend(0)Join Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.
Office Order regarding Maternity Leave for Contractual employee as per Amendment Act 2017.pdf
Leave Policy.doc