Dear Sir / Ma’am, Can please someone tell what is the EL encashment formula for 5 days / week working company. thanks. Monu
From India, Delhi
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1From India, Delhi
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Hi Buddy,
As per the Factories Act, an adult male worker will get one EL for every twenty days of working. For calculating 20 days, your presence in the workplace will be taken into account, not the weekly off or holidays.
With Regards,
Mr. Thumbs Up
From India, Chennai
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As per the Factories Act, an adult male worker will get one EL for every twenty days of working. For calculating 20 days, your presence in the workplace will be taken into account, not the weekly off or holidays.
With Regards,
Mr. Thumbs Up
From India, Chennai
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Dear Monu,
Encashment of leave mostly depends on the company policy, certified standing orders' provisions. So please check your company's HR policy. There may be a limit prescribed for encashment in the rules of the Company. In an earlier post, Mr. TU has suggested how earned leave can be credited to individuals' accounts, but the encashment issue is another matter.
In most companies, after a certain limit, earned leave (EL) or casual leave (CL) lapses if the concerned employee has not availed them.
Thank you.
From India
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Encashment of leave mostly depends on the company policy, certified standing orders' provisions. So please check your company's HR policy. There may be a limit prescribed for encashment in the rules of the Company. In an earlier post, Mr. TU has suggested how earned leave can be credited to individuals' accounts, but the encashment issue is another matter.
In most companies, after a certain limit, earned leave (EL) or casual leave (CL) lapses if the concerned employee has not availed them.
Thank you.
From India
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Leave encashment during service is not a mandatory right for employees and is not governed by any statute as far as the formula is concerned. It is as per the company's policy. In your case, the monthly salary can be divided by 30 to arrive at one day's salary, as it costs you less than dividing by 20 or the actual working days.
From India, Thiruvananthapuram
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From India, Thiruvananthapuram
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LEAVE ENCASHMENT NOT INCLUDED IN WAGES FOR P. F. CALCULATION.pdf
Leave Encashment & Salary Calculation.xls x