Hello all, I want to know which law covers leaves (CL, PL, SL) and their encashment. PL is covered under the factories act. But what about the CL and SL?
From India, Gandhinagar
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1From India, Gandhinagar
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Sub- CL/SL in Companies
If your establishment is a factory, you have to provide for annual leave under Sec. 79, which can be availed on sickness grounds. However, the ESI Act 1948, which covers factories, permits an employee to remain absent from duty for treatment of sickness or disablement during which they are entitled to wages calculated in the manner prescribed under the ESI Act.
As regards CL, it is provided for under the model standing orders of each state. A factory employing 100 or more workmen is also covered by the Industrial Employment (Standing Orders) Act 1946. Therefore, you have to provide for CL as per the model standing orders of your state since a factory is also covered by the Industrial Employment (Standing Orders) Act 1946.
If your establishment is a commercial establishment, you need to provide for leave as admissible under the Shops and Establishments Act of your state. The Shops Acts of some states provide for casual and sick leave also, in which case, you need to provide for them, while others, like the Bombay Shops and Establishments Act, provide for only one kind of leave (earned leave) which can be availed on sickness grounds. However, in some states like Maharashtra, the shops and commercial establishments are also covered by the Industrial Employment (Standing Orders) Act. In that event, you need to provide CL also as per the model standing orders.
If your commercial establishment is also covered under ESI by government notification, the employee is also eligible for sickness benefits available under the ESI Act. For example, shops and commercial establishments are covered under ESI by government notification in the state of Maharashtra. Please verify the status with regard to your state.
Hope this clarifies your doubt on the mandatory nature of CL/SL.
If your establishment is covered under the Sales Promotion Employees Act 1976, you need to provide CL and SL as prescribed under the said Act to sales promotion employees.
Hope this will clarify the mandatory nature of CL/SL.
From India, Madras
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If your establishment is a factory, you have to provide for annual leave under Sec. 79, which can be availed on sickness grounds. However, the ESI Act 1948, which covers factories, permits an employee to remain absent from duty for treatment of sickness or disablement during which they are entitled to wages calculated in the manner prescribed under the ESI Act.
As regards CL, it is provided for under the model standing orders of each state. A factory employing 100 or more workmen is also covered by the Industrial Employment (Standing Orders) Act 1946. Therefore, you have to provide for CL as per the model standing orders of your state since a factory is also covered by the Industrial Employment (Standing Orders) Act 1946.
If your establishment is a commercial establishment, you need to provide for leave as admissible under the Shops and Establishments Act of your state. The Shops Acts of some states provide for casual and sick leave also, in which case, you need to provide for them, while others, like the Bombay Shops and Establishments Act, provide for only one kind of leave (earned leave) which can be availed on sickness grounds. However, in some states like Maharashtra, the shops and commercial establishments are also covered by the Industrial Employment (Standing Orders) Act. In that event, you need to provide CL also as per the model standing orders.
If your commercial establishment is also covered under ESI by government notification, the employee is also eligible for sickness benefits available under the ESI Act. For example, shops and commercial establishments are covered under ESI by government notification in the state of Maharashtra. Please verify the status with regard to your state.
Hope this clarifies your doubt on the mandatory nature of CL/SL.
If your establishment is covered under the Sales Promotion Employees Act 1976, you need to provide CL and SL as prescribed under the said Act to sales promotion employees.
Hope this will clarify the mandatory nature of CL/SL.
From India, Madras
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Thanks a lot. My organization is has its factory located in Pune and our corporate office is in Mumbai. So, Factories Act is applicable and Standing orders would be applicable.
From India, Gandhinagar
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From India, Gandhinagar
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