In our company, one person completes the training period, then the provision period, after which he is confirmed. On which days should we calculate leave days?
Training period + provision period
Only the provision period
Our company's standing order does not mention this topic. What should I do? Please help me.
From India, Ahmadabad
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1Training period + provision period
Only the provision period
Our company's standing order does not mention this topic. What should I do? Please help me.
From India, Ahmadabad
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Dear Raj,
FYI, it's not provision period, it's Probation period.
Not only in your company but also in every company, a fresher is appointed as a Trainee for a minimum of 6 months. Later, depending on their performance, they will be escalated to the next level - Probation period, where their designation changes with a hike in their salary.
For trainees, a specified amount of leave will be allocated during their training period. Other than trainees, employees under probation and confirmed employees have leave calculated annually.
I will provide you with the process that I follow for leave calculation in our company:
Leave Calculation:
As per the leave policy, the leave year for computing all types of leave will be from 1st January to 31st December. Based on the need/reason and length of leave, the following categories of leave can be availed: CL, SL, and EL.
For a permanent employee, CL: 7 days, SL: 7 days, and EL: 8 days will be credited on 1st January of the calendar year.
For employees falling under Training and Probation period, full SL: 7 days will be credited on 1st January of the calendar year irrespective of the date of completion of their training or Probation period.
After the completion of the Probation period, the balance CL and EL will be credited to the employee based on the following leave calculations. Refer to the Leave policy to understand the leave procedure.
Trainee/Probation employee - SL calculation:
For example, if a new employee joins on June 1st, 2009, as a trainee/probation, then the leave calculation is as follows: (For Trainee/Probation only SL will be credited)
SL Leave Calculation:
Total SL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
As per the above example:
Total SL credit for the calendar year = 7 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 7 months (As the employee joined on June 1st, so June 1st - Dec 31st = 7 months, June month will be considered only when the employee joins on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 4 days of SL will be credited to the new employee. Thus, a new employee joining as a trainee/probation will get 4 days as SL for the entire year.
If the calculated leave results in 4.50, then four and a half days of leave will be credited. If the calculated leave results in more than 4.5, such as 4.55/4.6/4.7... then the leave will be rounded up and credited as 5 days.
If a new employee joins as a Trainee on January 1st, 2009, then SL - 7 days will be credited to the employee as per the above formula, and this leave credit is for the entire year. It doesn't mean that when the employee enters into probation in the month of July, the leave has to be credited again because both trainee and probation employees will be eligible for SL only. Only after the completion of the probation period, CL and EL will be credited.
If a new employee joins on January 1st, 2009, on Probation, then SL - 7 days will be credited for the entire year, and as of July 1st, if the employee gets confirmed, CL and EL will be credited, and the leave calculation is as follows:
Confirmed employee CL calculation:
For example, if a new employee joins on January 1st, 2009, on probation, and the employee gets confirmed on July 1st, 2009, the CL calculation is as follows:
For CL, the leave calculation is as follows:
Total CL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
CL Calculation:
Total CL credit for the calendar year = 7 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 6 months (As the employee gets confirmed on July 1st, so July 1st - Dec 31st = 6 months, July month will be considered only when the employee confirmation is on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 3.5 days of CL will be credited as of July 1st for the entire year, and if the calculated value results in more than 3.5, such as 3.6/3.7/3.8..., then the leave will be rounded up and credited as 4 days.
Confirmed employee EL calculation:
For example, if a new employee joins on January 1st, 2009, on probation, and the employee gets confirmed on July 1st, 2009, the EL calculation is as follows:
For EL, the leave calculation is as follows:
Total EL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
EL Calculation:
Total EL credit for the calendar year = 8 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 6 months (As the employee got confirmed on July 1st, so July 1st - Dec 31st = 6 months, July month will be considered only when the employee confirmation is on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 4 days of EL will be credited as of July 1st for the entire year, and if the calculated value results in more than 4.5, such as 4.6/4.7/4.8..., then the leave will be rounded up and credited as 5 days.
Regarding your query about leave days calculation after completing the training period and provision period, if your company's standing order does not mention this topic, you may need to consult with HR or refer to any other relevant company policies to determine the correct procedure.
Let me know if you need further assistance.
From India, Madras
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FYI, it's not provision period, it's Probation period.
Not only in your company but also in every company, a fresher is appointed as a Trainee for a minimum of 6 months. Later, depending on their performance, they will be escalated to the next level - Probation period, where their designation changes with a hike in their salary.
For trainees, a specified amount of leave will be allocated during their training period. Other than trainees, employees under probation and confirmed employees have leave calculated annually.
I will provide you with the process that I follow for leave calculation in our company:
Leave Calculation:
As per the leave policy, the leave year for computing all types of leave will be from 1st January to 31st December. Based on the need/reason and length of leave, the following categories of leave can be availed: CL, SL, and EL.
For a permanent employee, CL: 7 days, SL: 7 days, and EL: 8 days will be credited on 1st January of the calendar year.
For employees falling under Training and Probation period, full SL: 7 days will be credited on 1st January of the calendar year irrespective of the date of completion of their training or Probation period.
After the completion of the Probation period, the balance CL and EL will be credited to the employee based on the following leave calculations. Refer to the Leave policy to understand the leave procedure.
Trainee/Probation employee - SL calculation:
For example, if a new employee joins on June 1st, 2009, as a trainee/probation, then the leave calculation is as follows: (For Trainee/Probation only SL will be credited)
SL Leave Calculation:
Total SL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
As per the above example:
Total SL credit for the calendar year = 7 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 7 months (As the employee joined on June 1st, so June 1st - Dec 31st = 7 months, June month will be considered only when the employee joins on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 4 days of SL will be credited to the new employee. Thus, a new employee joining as a trainee/probation will get 4 days as SL for the entire year.
If the calculated leave results in 4.50, then four and a half days of leave will be credited. If the calculated leave results in more than 4.5, such as 4.55/4.6/4.7... then the leave will be rounded up and credited as 5 days.
If a new employee joins as a Trainee on January 1st, 2009, then SL - 7 days will be credited to the employee as per the above formula, and this leave credit is for the entire year. It doesn't mean that when the employee enters into probation in the month of July, the leave has to be credited again because both trainee and probation employees will be eligible for SL only. Only after the completion of the probation period, CL and EL will be credited.
If a new employee joins on January 1st, 2009, on Probation, then SL - 7 days will be credited for the entire year, and as of July 1st, if the employee gets confirmed, CL and EL will be credited, and the leave calculation is as follows:
Confirmed employee CL calculation:
For example, if a new employee joins on January 1st, 2009, on probation, and the employee gets confirmed on July 1st, 2009, the CL calculation is as follows:
For CL, the leave calculation is as follows:
Total CL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
CL Calculation:
Total CL credit for the calendar year = 7 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 6 months (As the employee gets confirmed on July 1st, so July 1st - Dec 31st = 6 months, July month will be considered only when the employee confirmation is on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 3.5 days of CL will be credited as of July 1st for the entire year, and if the calculated value results in more than 3.5, such as 3.6/3.7/3.8..., then the leave will be rounded up and credited as 4 days.
Confirmed employee EL calculation:
For example, if a new employee joins on January 1st, 2009, on probation, and the employee gets confirmed on July 1st, 2009, the EL calculation is as follows:
For EL, the leave calculation is as follows:
Total EL credit for the calendar year
------------------------------------------ * Months remaining in the calendar year
Total number of months in the calendar year
EL Calculation:
Total EL credit for the calendar year = 8 days
Total number of months in the calendar year = 12 months
Months remaining in the calendar year = 6 months (As the employee got confirmed on July 1st, so July 1st - Dec 31st = 6 months, July month will be considered only when the employee confirmation is on or before the 15th of that particular month, or else the count starts from the next month)
Therefore, 4 days of EL will be credited as of July 1st for the entire year, and if the calculated value results in more than 4.5, such as 4.6/4.7/4.8..., then the leave will be rounded up and credited as 5 days.
Regarding your query about leave days calculation after completing the training period and provision period, if your company's standing order does not mention this topic, you may need to consult with HR or refer to any other relevant company policies to determine the correct procedure.
Let me know if you need further assistance.
From India, Madras
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dear malini it is very good information and it help to me i not open my id so i am let to finding this information this information clear all point
From India, Ahmadabad
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From India, Ahmadabad
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dear malini it is very good information and it help to me i not open my id so i am let to finding this information this information clear all point
From India, Ahmadabad
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From India, Ahmadabad
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Hi All, Malini really very good info....really appreciable, and this will help me a lot in future. Regards, Shruti Kumawat
From India, Lucknow
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From India, Lucknow
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malini one employee join then can i calculate bonus for CTC. if i calculate what will happened it is right that we show in his appointment letter.
From India, Ahmadabad
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From India, Ahmadabad
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Hi Malini,
As per the Tamil Nadu Shops and Establishments Act, there must be 36 days of leave per year. For example, 12 SL, 12 CL, and 12 EL, which can then be carried forward to the next year. Depending on the company policy, we may allocate the leave as 15 SL, 12 CL, and 9 EL. During the probation period, we reduce the annual leave by half. Earned leave will be granted after completing one year. I believe this information is accurate, but I am not entirely sure. I would appreciate it if you could confirm this.
Thank you.
From India
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As per the Tamil Nadu Shops and Establishments Act, there must be 36 days of leave per year. For example, 12 SL, 12 CL, and 12 EL, which can then be carried forward to the next year. Depending on the company policy, we may allocate the leave as 15 SL, 12 CL, and 9 EL. During the probation period, we reduce the annual leave by half. Earned leave will be granted after completing one year. I believe this information is accurate, but I am not entirely sure. I would appreciate it if you could confirm this.
Thank you.
From India
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Hello Malini,
It depends on the company policy. In our company, we only give CL to the employees who are in the probation period. Once they are out of that period, they become eligible for CL, ML, etc. However, it is up to the company's policy to determine which leaves can be carried forward in addition to the basic leaves.
From India, Bangalore
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It depends on the company policy. In our company, we only give CL to the employees who are in the probation period. Once they are out of that period, they become eligible for CL, ML, etc. However, it is up to the company's policy to determine which leaves can be carried forward in addition to the basic leaves.
From India, Bangalore
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Balaji, I agree with you, but many companies don't follow these rules. It's purely based on management decision, and the same will be framed as a Leave policy by the HR. Management seeks to use the maximum of the employees' contributions and hence tends to reduce their leave credit. This is what happening everywhere.
Apart from this, we work for countries outside India, and you know in India, we have too many festivals, so too many leaves. Apart from this, the company will declare annual leave to employees (CL, SL, and EL). Clients outside India will not have so many leaves in their company, and management cannot explain all these to the client, so that's why they alter and amend the rules. Yes, EL should be credited after completion of 1 year, but again, in order to reduce the availing of bulk leave by the employee, certain companies don't follow these sorts of rules. I mean, as soon as the employee completes his/her probation period, EL will be credited for the balance months of that calendar year.
"Hi Malini, As per the Tamil Nadu Shops and Establishment Act, there must be 36 days of leave per year. For example, 12 SL, 12 CL, 12 EL, and then SL and EL can be carried forward to the next year. Depending on the company policy, we may fix the leave like 15 SL, 12 CL, 9 EL. In the probation period, we reduce half of the annual leave. Earn leave will come after completion of one year. I think it might be right, but I am not sure. I request you to reply to this."
From India, Madras
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Apart from this, we work for countries outside India, and you know in India, we have too many festivals, so too many leaves. Apart from this, the company will declare annual leave to employees (CL, SL, and EL). Clients outside India will not have so many leaves in their company, and management cannot explain all these to the client, so that's why they alter and amend the rules. Yes, EL should be credited after completion of 1 year, but again, in order to reduce the availing of bulk leave by the employee, certain companies don't follow these sorts of rules. I mean, as soon as the employee completes his/her probation period, EL will be credited for the balance months of that calendar year.
"Hi Malini, As per the Tamil Nadu Shops and Establishment Act, there must be 36 days of leave per year. For example, 12 SL, 12 CL, 12 EL, and then SL and EL can be carried forward to the next year. Depending on the company policy, we may fix the leave like 15 SL, 12 CL, 9 EL. In the probation period, we reduce half of the annual leave. Earn leave will come after completion of one year. I think it might be right, but I am not sure. I request you to reply to this."
From India, Madras
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Ya Mahesh,
Just for namesake, there are certain rules and regulations. It's purely dependent on the management decisions, which are then framed as company policy. Actually, balance EL is encashable, but certain companies don't. Upon this, they say that EL can be carried forward for 2 years only. The explanation given by the management for this is, we brought such rules and regulations because we want our employees to take vacations, and again, this is eyewash. So much work will be assigned to the employee that they hardly find time to take a day off.
From India, Madras
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Just for namesake, there are certain rules and regulations. It's purely dependent on the management decisions, which are then framed as company policy. Actually, balance EL is encashable, but certain companies don't. Upon this, they say that EL can be carried forward for 2 years only. The explanation given by the management for this is, we brought such rules and regulations because we want our employees to take vacations, and again, this is eyewash. So much work will be assigned to the employee that they hardly find time to take a day off.
From India, Madras
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Hi friends,
I have just registered today. My name is Sunil, and I was going through various messages exchanged. They were all very interesting and useful. Can somebody help me understand? I have a retail chain of stores that deal in home furnishing products like carpets, pillows, bed sheets, curtains, etc. Specifically, I want to know how to set sales targets for my sales staff. Please let me know the formula involved. Thank you.
From Tanzania, Dar Es Salaam
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I have just registered today. My name is Sunil, and I was going through various messages exchanged. They were all very interesting and useful. Can somebody help me understand? I have a retail chain of stores that deal in home furnishing products like carpets, pillows, bed sheets, curtains, etc. Specifically, I want to know how to set sales targets for my sales staff. Please let me know the formula involved. Thank you.
From Tanzania, Dar Es Salaam
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Hi Malini I compliment you on an excellent grasp on leaves and leave calculations. i am sure, your posts will be very useful for new/ fresh HR professionals.
From India, Delhi
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From India, Delhi
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Leave, i.e., Earned Leave (EL), is eligible for all employees, including trainees, probationers, casual, and contract workmen. When calculating the earned leave, only the date of joining has to be taken into account, and not any other date. You have to refer to the Factories Act for the leave.
Sridharan
From India, New Delhi
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Sridharan
From India, New Delhi
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Dear Jituraj,
First of all, your company needs to formulate a leave policy to implement within your organization. What Ms. Malini provided is their company's leave policy. If it is suitable for you, you can adopt the same policy in your company as well. However, in the initial phase, your company management must formulate and communicate the leave policy to its employees. Based on the formulated leave policy, you can then calculate the leave entitlement for employees.
Leave policies vary among companies and are not uniform. These policies differ from firm to firm. It is essential to design a suitable leave policy in consultation with the management for effective implementation.
I would like to clarify that you mentioned a "provision period." It should be noted that it is actually a "probation period." The probation period should be clearly specified in the service rules, as it is considered in the calculation of leave entitlement.
Best regards,
Suri Babu Komakula
From India, Vijayawada
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First of all, your company needs to formulate a leave policy to implement within your organization. What Ms. Malini provided is their company's leave policy. If it is suitable for you, you can adopt the same policy in your company as well. However, in the initial phase, your company management must formulate and communicate the leave policy to its employees. Based on the formulated leave policy, you can then calculate the leave entitlement for employees.
Leave policies vary among companies and are not uniform. These policies differ from firm to firm. It is essential to design a suitable leave policy in consultation with the management for effective implementation.
I would like to clarify that you mentioned a "provision period." It should be noted that it is actually a "probation period." The probation period should be clearly specified in the service rules, as it is considered in the calculation of leave entitlement.
Best regards,
Suri Babu Komakula
From India, Vijayawada
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Hi Malini, I m very thankful to u for providing such a wonderful data. I m sure this not only help to jeetu infact this would be helpful for everyone.
From India, Delhi
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From India, Delhi
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Hi, The calculations are usefull but our company has only CL(10days) and EL.(5day/qtr) no sick leave as such.
From India, Mumbai
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From India, Mumbai
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Hi all,
I would like to share information on leave calculation. Before calculation, we must be aware of the minimum leaves that should be provided to an employee. To determine this, we need to consider the statutory compliance of the Shop and Establishment Act, which provides information about the minimum leaves to be provided based on the company's manpower strength. There are also a few limitations to consider.
Regards,
Jeets ;-)
From India, Pune
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I would like to share information on leave calculation. Before calculation, we must be aware of the minimum leaves that should be provided to an employee. To determine this, we need to consider the statutory compliance of the Shop and Establishment Act, which provides information about the minimum leaves to be provided based on the company's manpower strength. There are also a few limitations to consider.
Regards,
Jeets ;-)
From India, Pune
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EL cannot be less than 12 in a year as per the labor laws. For every 20 days of working, 1 earned leave will be credited to the employee. Therefore, with approximately 240 working days in a year, an employee should receive 12 earned leaves.
From India, Mumbai
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From India, Mumbai
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Hi Malini, great help!
I have framed a new leave system for my company as follows:
- 11 National holidays
- 12 CL's
- 12 EL's (encashed after 1 year of completing service)
The calendar year runs from 1 April to 31 March. Is this system legal or okay? I am about to send out an email to employees. Kindly advise if this is fine.
From India, Calcutta
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I have framed a new leave system for my company as follows:
- 11 National holidays
- 12 CL's
- 12 EL's (encashed after 1 year of completing service)
The calendar year runs from 1 April to 31 March. Is this system legal or okay? I am about to send out an email to employees. Kindly advise if this is fine.
From India, Calcutta
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Hi Malini,
It's really good info. I would also appreciate it if you could let me know whether weekends (Saturday & Sunday) will be considered as leave if anyone is taking leave on Friday and Monday. If yes, then can I know on what basis this is considered. It would be helpful if you could email me the info to rishilpi@rediffmail.com.
Thanks,
Shilpa.
From India, Kochi
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It's really good info. I would also appreciate it if you could let me know whether weekends (Saturday & Sunday) will be considered as leave if anyone is taking leave on Friday and Monday. If yes, then can I know on what basis this is considered. It would be helpful if you could email me the info to rishilpi@rediffmail.com.
Thanks,
Shilpa.
From India, Kochi
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Hi malini,very good information.This will be useful for every body.can i have your mail id please.
From India, Pune
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From India, Pune
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If I want to calculate an employee's 20 years of annual leave, when we check his total leaves on documents, there is a calculation of how many days he took in every leave. For example, you calculate the days for each month based on 28, 29, 30, or 31 total days of the month, and then you multiply the total by 2.5, I believe. However, I forgot what comes after that. Can you please explain this calculation to me? I hope you understand my point.
From United Arab Emirates, Dubai
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From United Arab Emirates, Dubai
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