I recently joined a Architecture firm to manage the HR. Since the company is fairly new (2yr since inception) a lot of policy stuff is still underway. The current leave policy states that the Sick and Casual Leave component is accrued even after an employee has finished his/her probation and received permanent employee confirmation. If I am correct Sick and casual leaves cannot be deemed accrued. There is a fixed amount of SL and CL per year per employee. Could anyone clarify on this? The firm is new as I have mentioned and the employee strength is around 18 currently.
Can someone please shed some light on this?
I feel the owner who is inexperienced is doing a whole lot of policy stuff on the ad hoc basis.
Thanks in advance
From India, Bangalore
Can someone please shed some light on this?
I feel the owner who is inexperienced is doing a whole lot of policy stuff on the ad hoc basis.
Thanks in advance
From India, Bangalore
It is not the policy of leave normally that an employee is said to earn casual leave and sick leave on the basis of actual service as in the case of annual leave/earned leave. They are granted to the employee in aggregate subject to limits such as 12 days of CL and 30 days of S.L(as may be prescribed in the leave policy/contract of service) in a year and they are admissible even during probation..However in the case of S.L, an employee during probation or in the first year of service may be granted it on pro-rata basis since he does not complete one year.
B.Saikumar
From India, Mumbai
1899B.Saikumar
From India, Mumbai
Normally, CLs are not carried forward but elapse if not availed in the particular calender year. Some Cos encash the unavailed CLs to the employees.
SLs are carried forward in some Cos with a ceiling. Again it all depends on the Company policies.
Pon
From India, Lucknow
SLs are carried forward in some Cos with a ceiling. Again it all depends on the Company policies.
Pon
From India, Lucknow
Thanks SaiKumar and Pon for the replies.
Saikumar,
My understanding is similar to what you have commented - that an employee is entitled to SL subject to a max limit of 12 after he completes a year.
This is ture as per the Karnataka Establishment Act as well i believe.
But I was concerned whether there are any leeway afforded to companies which are relatively new and with employee numbers less than 25.
Could you confirm this?
Appreciate your replies
Thanks
From India, Bangalore
Saikumar,
My understanding is similar to what you have commented - that an employee is entitled to SL subject to a max limit of 12 after he completes a year.
This is ture as per the Karnataka Establishment Act as well i believe.
But I was concerned whether there are any leeway afforded to companies which are relatively new and with employee numbers less than 25.
Could you confirm this?
Appreciate your replies
Thanks
From India, Bangalore
Dear All,
Casual leave and Sick leave are not covered in Factories Act.
Shop and Establishment Acts of various states spell out CL and SL entitlements.
For instance, as per Shop and Establishment Act of Delhi, 12 CL cum SL are entitled, not less than 1 day for every completed month and no accumulation is permitted. Meaning that you can not carry forward un availed CL cum Sl to next year.
These are mandatory entitlements and in case employer has framed rules giving more than these numbers in Delhi than it is his outlook and he is well within his right to do so.
Regards,
Col.Suresh Rathi
From India, Delhi
Casual leave and Sick leave are not covered in Factories Act.
Shop and Establishment Acts of various states spell out CL and SL entitlements.
For instance, as per Shop and Establishment Act of Delhi, 12 CL cum SL are entitled, not less than 1 day for every completed month and no accumulation is permitted. Meaning that you can not carry forward un availed CL cum Sl to next year.
These are mandatory entitlements and in case employer has framed rules giving more than these numbers in Delhi than it is his outlook and he is well within his right to do so.
Regards,
Col.Suresh Rathi
From India, Delhi
It is not clear as to what you mean whether any leeway afforded to a new company. As my understanding goes, the Shops and Establishment Act is applicable to an establishment from the day it comes into existence provided it is located in the area to which the Act is applicable or in the area to which the application of the Act is extended by the State Government by notification and the Shops Act does not prescribe any minimum number of persons to be employed for the Shops Act to apply to it.
Further the Karnataka Shops Act deals with exemptions under section (3). I have not come across any provision exempting a new establishment from being covered. Please go through this section.
So far as sick leave is concerned, the Act does not say that the same is linked to actual days of service unlike annual leave/earned leave. Further Sec15(10) permits the establishment to frame a scheme to regulate various kinds of leave admissible under the Act.
B.Saikumar
From India, Mumbai
Further the Karnataka Shops Act deals with exemptions under section (3). I have not come across any provision exempting a new establishment from being covered. Please go through this section.
So far as sick leave is concerned, the Act does not say that the same is linked to actual days of service unlike annual leave/earned leave. Further Sec15(10) permits the establishment to frame a scheme to regulate various kinds of leave admissible under the Act.
B.Saikumar
From India, Mumbai
Mr.Saikumar is absolutely right to state that there is no difference between entitlement of leave as per any Act/Rule for old/new Co's nor has number of employees linked to entitlements of leave.
Regards,
Col.Suresh Rathi
From India, Delhi
Regards,
Col.Suresh Rathi
From India, Delhi
Hi
A lot of discussion has been made in this thread which are absolutely valid.
However, i think the original question is still not answered.
You need to check the rules as they apply to your state.
It gives the minimum number of days of leave that is applicable to each employee.
The rules generally state that the employee will be eligible to leave after one year of working (or in some states, on 1st january of the next year).
On that day he gets a set of leave credited to his account and he can use them as he needs (subject to company policy on usage)
So, to me it seems that accrual of leave (but not allowed to use it) till January of the next year is valid in light of the S&CE rules that apply to you.
From India, Mumbai
A lot of discussion has been made in this thread which are absolutely valid.
However, i think the original question is still not answered.
You need to check the rules as they apply to your state.
It gives the minimum number of days of leave that is applicable to each employee.
The rules generally state that the employee will be eligible to leave after one year of working (or in some states, on 1st january of the next year).
On that day he gets a set of leave credited to his account and he can use them as he needs (subject to company policy on usage)
So, to me it seems that accrual of leave (but not allowed to use it) till January of the next year is valid in light of the S&CE rules that apply to you.
From India, Mumbai
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