Dear HR Colleagues, Our management would like to remove the segregation of leaves - PL, CL, SL and assign a fixed number of leaves per annum.
Is this possible? Has this been implemented in any of your companies? If so can you share a template of such a leave policy?
Thank you!
From India, Noida
Is this possible? Has this been implemented in any of your companies? If so can you share a template of such a leave policy?
Thank you!
From India, Noida
Dear Lata,
The Shops and Establishment Act and Factories Act, both do not give any break up of the leave. It has been done by the management of the respective company.
Both the acts mandate awarding 1 day paid leave for every 20 days work rendered by the employee. Therefore, if one removes 52 Sundays and 10 national and closed holidays from 365 days, one gets 303 days. If one divides this number by 20 then one gets 15. Therefore, a maximum of 15 days leave admissible to the employee. It is called an earned leave.
The company management may give more than 15 days leave per annum but not less.
Thanks,
Dinesh Divekar
From India, Bangalore
7855The Shops and Establishment Act and Factories Act, both do not give any break up of the leave. It has been done by the management of the respective company.
Both the acts mandate awarding 1 day paid leave for every 20 days work rendered by the employee. Therefore, if one removes 52 Sundays and 10 national and closed holidays from 365 days, one gets 303 days. If one divides this number by 20 then one gets 15. Therefore, a maximum of 15 days leave admissible to the employee. It is called an earned leave.
The company management may give more than 15 days leave per annum but not less.
Thanks,
Dinesh Divekar
From India, Bangalore
Dear Lata,
From the nomenclature of the various kinds of leave used in the post, I presume yours is an establishment falling under the Shops and Establishments Act. The statutory classification of leave benefit into different kinds is not without purpose. C.L and S.L are lapsable leave and their availment is linked to the factor of contingency or emergency beyond the control of the employee whereas P.L is an accruable leave that can be carried forward to the subsequent years subject to certain ceiling and forms part of terminal benefit. As such how can you combine them into one?
Even if your establishment is a factory and you are giving CL and SL in addition to the statutory annual leave with wages, it cannot be done without giving a notice u/s 9-A of the IDA,1947.
From India, Salem
From the nomenclature of the various kinds of leave used in the post, I presume yours is an establishment falling under the Shops and Establishments Act. The statutory classification of leave benefit into different kinds is not without purpose. C.L and S.L are lapsable leave and their availment is linked to the factor of contingency or emergency beyond the control of the employee whereas P.L is an accruable leave that can be carried forward to the subsequent years subject to certain ceiling and forms part of terminal benefit. As such how can you combine them into one?
Even if your establishment is a factory and you are giving CL and SL in addition to the statutory annual leave with wages, it cannot be done without giving a notice u/s 9-A of the IDA,1947.
From India, Salem
Dear Dinesh Divekar ji,
I appreciate your involvement in Labour Law subjects even though you are not from this field, I suppose. You are having fairly good knowledge in Labour Laws also. You deserve kudos Sir. More than 7500 posts widely appreciated by members.
I would just like to draw your kind attention that some of the States has provision of casual leave as well sick leave under their respective State Shop Act, e.g. Maharashtra New Shop Act has provision of 8 CL, Delhi has CL /SL combine 12 days and in Punjab & Haryana CL 7 & SL 7, to my knowledge.
From India, Mumbai
I appreciate your involvement in Labour Law subjects even though you are not from this field, I suppose. You are having fairly good knowledge in Labour Laws also. You deserve kudos Sir. More than 7500 posts widely appreciated by members.
I would just like to draw your kind attention that some of the States has provision of casual leave as well sick leave under their respective State Shop Act, e.g. Maharashtra New Shop Act has provision of 8 CL, Delhi has CL /SL combine 12 days and in Punjab & Haryana CL 7 & SL 7, to my knowledge.
From India, Mumbai
Dear Akhil Bharatiya,
Thanks for the correction. I stand corrected. The state of Karnataka does not have break up of the leave. Anyway, hereafter, I need to be cautious while giving replies.
By the way, I just would like to have some telephonic discussion with you. I had sent you a private message also. Can you please check it?
Thanks and regards,
Dinesh Divekar
From India, Bangalore
Thanks for the correction. I stand corrected. The state of Karnataka does not have break up of the leave. Anyway, hereafter, I need to be cautious while giving replies.
By the way, I just would like to have some telephonic discussion with you. I had sent you a private message also. Can you please check it?
Thanks and regards,
Dinesh Divekar
From India, Bangalore
Dear colleague,
It is rightly pointed out by Mr Akhil that, some State Shops Act/Rules provide for CL, SL, even paid holidays in addition to earned leaves like in the Maharashtra Shops Act.
Since CL, SL is statutorily mandatory( Check your State Shop Act/Rules), combining all leaves into single leave will amount to breaching the provisions of the Act.
There is another good reason why combining will be disadvantageous . The balance earned leave at the time employee's leaving the job is encashable whereas other types are not. Therefore, even assuming you could combine all leaves into one, the quantum of encashment having increased, the money outgo will be higher.
Besides, giving different types of leaves is so well entrenched in the industrial system, even if you can, deparure from this will not accrue any advantage to either party. Therefore, better to stay tuned to the law and wide spread prevalent practice in this regard.
Regards,
Vinayak Nagarkar
HR and Employee Relations Consultant
From India, Mumbai
It is rightly pointed out by Mr Akhil that, some State Shops Act/Rules provide for CL, SL, even paid holidays in addition to earned leaves like in the Maharashtra Shops Act.
Since CL, SL is statutorily mandatory( Check your State Shop Act/Rules), combining all leaves into single leave will amount to breaching the provisions of the Act.
There is another good reason why combining will be disadvantageous . The balance earned leave at the time employee's leaving the job is encashable whereas other types are not. Therefore, even assuming you could combine all leaves into one, the quantum of encashment having increased, the money outgo will be higher.
Besides, giving different types of leaves is so well entrenched in the industrial system, even if you can, deparure from this will not accrue any advantage to either party. Therefore, better to stay tuned to the law and wide spread prevalent practice in this regard.
Regards,
Vinayak Nagarkar
HR and Employee Relations Consultant
From India, Mumbai
Hi
As rightly pointed out by the learned member Shri Umakanthan, the leaves are so segregated with a purpose. While casual leaves are usually for attending any personal work that requires your presence at a particular place other than your place of work, on a working day, Sick leave does not need any explanation. Both of these are lapsable at the end of the calendar year while vacation leaves [usually 15 per one year of service] can be carried forward subject to a maximum of 60 as per Shops & Establishment Act in most states of the country.
Unless the management of your company is generous enough to stick over and above the mentioned policies it would be deemed to be non-employee friendly and hence not acceptable.
You need to explain why it cannot /should not be clubbed.
Thanks and Regards
From India, Hyderabad
As rightly pointed out by the learned member Shri Umakanthan, the leaves are so segregated with a purpose. While casual leaves are usually for attending any personal work that requires your presence at a particular place other than your place of work, on a working day, Sick leave does not need any explanation. Both of these are lapsable at the end of the calendar year while vacation leaves [usually 15 per one year of service] can be carried forward subject to a maximum of 60 as per Shops & Establishment Act in most states of the country.
Unless the management of your company is generous enough to stick over and above the mentioned policies it would be deemed to be non-employee friendly and hence not acceptable.
You need to explain why it cannot /should not be clubbed.
Thanks and Regards
From India, Hyderabad
Doubt regarding this query.
Assuming CL=12, SL=12, EL=15. Total = 39. If we just write Leave in attendance register without designation which kind of leave and give 39 leaves per year to a employee. Is it right or wrong? Can all these leaves be single day leaves instead of a group of days?
From India, Bengaluru
Assuming CL=12, SL=12, EL=15. Total = 39. If we just write Leave in attendance register without designation which kind of leave and give 39 leaves per year to a employee. Is it right or wrong? Can all these leaves be single day leaves instead of a group of days?
From India, Bengaluru
If there is a prescribed leave register under the applicable Act to be maintained with different types of leave, what will you do?
In the attendance register you can simply note as ' L ' for leave of absence. But the corresponding entry in the leave register should indicate the type of leave.
If a Law or Rule prescribes something to be done in a way, proper compliance means doing that thing in the way prescribed only.
If we try to be more intelligent than the law-makers, certainly our acts would simply end up in violations only.
From India, Salem
In the attendance register you can simply note as ' L ' for leave of absence. But the corresponding entry in the leave register should indicate the type of leave.
If a Law or Rule prescribes something to be done in a way, proper compliance means doing that thing in the way prescribed only.
If we try to be more intelligent than the law-makers, certainly our acts would simply end up in violations only.
From India, Salem
Thank you for your response. Got clarity regarding it.
Also another doubt regarding Shops sir, EL can be given on a single day basis or should it be a group of days?
For example on 1st,4th,6th,9th,16th (5days ) or should it be like 10th-14th (5days).
Also, how many times EL can be given in a year? Like only 2 times or like once in every month?
From India, Bengaluru
Also another doubt regarding Shops sir, EL can be given on a single day basis or should it be a group of days?
For example on 1st,4th,6th,9th,16th (5days ) or should it be like 10th-14th (5days).
Also, how many times EL can be given in a year? Like only 2 times or like once in every month?
From India, Bengaluru
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Leave Policy.doc