nanu1953
337

No Act has specified that Paid holidays, paid weekly off days, paid annual/earned/privilege leave, paid casual/ medical leave, lay off, works injury , legal strike etc.etc. are working days. Please specify the act where it is mentioned. Rather under factories act to qualify 240 days only three conditions are in build - Lay off, Maternity and any annual leave availed from earned leave of last year.

Under factories act working days are calculated - 365 yearly days - 52 paid weekly off - 10/12 paid festival holidays = 301/302/303 working days. For leave eligibility one has to present 240 working days out of 300+ days.

Therefore, there is a BIG NO for working days similar to calendar days / monthly days. Under any circumstances working days do not include other paid holidays as it is arithmetically in correct. Forcefully with illogical reasons it cannot be established that Working days and Calendar days / monthly days are same.

S K Bandyopadhyay ( WB, Howrah )
CEO-USD HR Solutions
+91 98310 81531
skb@usdhrs.in
www.usdhrs.in

From India, New Delhi
Madhu.T.K
4246

My question is if you have paid salary for 30 days, how can you say that he has worked only for 26 days or for qualifying the days physically worked only should be considered? When you work for one year, it is a year and not just 300 days. Even when unpaid holidays and unpaid weekly off days should not be considered as service interruptions, how can we exclude paid holidays and paid weekly off days from service?
From India, Kannur
nanu1953
337

One person worked for a year but not 365 days. It means working days are different from calendar days. Even in a year for majority organization except continuous process 365 days are not working days. Usual working days for a 6 days week organization is 365 - 52 weekly off - 13 say paid festival holidays = 300. Any person may not work for 300 days because of his paid leaves. Therefore, working days is less than even 300 days.

Payment to any person usually is based on hourly rate / daily rate /monthly rate. If someone has service condition monthly rate , he will get whole month salary if he presents all working days or has taken any paid leave and even working 26 days in that month. For daily and hourly rate payment is made based on hours worked or days present.

As per Payment of Bonus Act the eligibility criteria is 30 working days not one month. In case of Factories Act Annual Leave earing is based on number of working days present. But in case of Payment of Gratuity Act it is 240 days continuous service as calendar days not working days as per definition of continuous service. Under Bonus or Factories Act there is no such condition.

Therefore, there is a distinct difference between working days and calendar days.

Hope this will clarify the doubts.

S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
skb@usdhrs.in
www.usdhrs.in

From India, New Delhi
Madhu.T.K
4246

I don't understand the theory of Mr S K Bandyopadhyay. When you have offered salary of 30 days, it should be construed as 30 days working days because we will not pay not days not worked. Obviously, all paid holidays are working days only. It is not that every week end you put an end to the service and then start the service after the weekly off. It is okay in respect of daily rated employees to whom we pay for days worked but in respect of employees who are paid for the holidays and weekly off days, if you pay for 30 days, how can it becomes that the working days is only 26?

The Factories Act has very clearly mentioned about the eligibility and once an employee becomes eligible because of his service of 240 days in 12 months or proportionate to it, then it is for entitlement, and he becomes entitled to get one day for every 20 days physically present. He is not entitled to earn leaves for the days he was not physically present though he was paid for that.

Under Payment of Gratuity Act also the eligibility for gratuity is decided by means of service, rather continuous service and that continuous service means uninterrupted service of not less than 240 days. Interruption of service due to certain reasons like sickness, accidents etc are not to make the service interrupted. Even leave without pay for which an office order treating it as interruption of service has not been passed will be treated as uninterrupted service. Here, we do not take the days physically present but we take the days for which payment has been made. Once it becomes short of 240 days, we will see whether during this 12 months the employee was absent due to occupational disease or accident and if you find any days that will be added to the number of pay days. Again if there are few days of leave without pay, you will see whether any disciplinary action was taken for the absence without leave. If not, that days will also qualify for unterrupted service.

Section 8 of the Payment of Bonus Act, says that "every employee shall be entitled to be paid by his employer in an accounting year, bonus, in accordance with the provisions of this Act, provided he has worked in the establishment for not less than thirty working days in that year." Here there is no reference to physically present days but it is working days. If you pay for 30 days, it should be remuneration for 30 days' service that is paid to the employee. You will be marking 30 days as days present in all records including ESI and EPF. Only for mandays calculation it is actual/ physical days' present is considered but for all other records we take the remuneration for how many days as service days.

In the instant case also, his working days is 30 in ESI and EPF. This is because he was paid for 30 days. Obviously, on weekly off days and holidays the status of employment will not change and it is for this reason that an employee found working for some other firm during his weekly off/ holidays is charge sheeted for misconduct of carrying out a business of profit while being employed with us.

From India, Kannur
ommygautam
78

Agree with Madhu Sir, it means as per other members his other statutory dues will also not be contributed for 30 days as he had not worked for 30 days but his salary made for 30 days .
From India, Rudarpur
nanu1953
337

Dear Mr. Madhu TK,

I can not understand your post properly. So I am not in position to reply against your all points. Only one point where you have mentioned that Under Payment of Bonus Act , eligibility of Bonus for any financial year is one has to work 30 working days in a year. Then subsequently you have mentioned that there is no reference of physical present days but it is working days. What is the difference between Physical present days and work on working days ? If physically not present one can not work on working days.

Therefore, there is no difference between physically present days and work on working days. So you have agreed that to eligible for bonus it is essential to be present and work for 30 working days.

Though in my 1st post I have mentioned that there are organizations who are paying Bonus for working one complete month without considering 30 working days that is practice and extra legal facility.

I will not make any further post in this regard.

Warm regards,

S K Bandyopadhyay ( WB, Howrah),
CEO-USD HR Solutions
+91 98310 81531
skb@usdhrs.in
www.usdhrs.in

From India, New Delhi
Madhu.T.K
4246

Mr S K Bandyopadhyay, the days physically present means the days on which the employee was present for work. The number of paid days need not be the days physically present. It shall include days for which the employee has been paid. The service in the company is considered based on the days the employee was employed. On paid holidays and weekly off days, a regular employee is an employee only. That is why he is paid for the holidays and weekly off days. He is paid salary only when he is an employee. If an employee is paid for weekly off days, he should be an employee of the company on these weekly off days. A casual worker who is hired for a day or two is not paid for the weekly off days because he is not an employee on that day. If a casual worker has been engaged throughout a month, say April, with usual breaks for weekly off and if these weekly offs are unpaid, then he would not qualify for bonus because he might have worked only for 26 days. The same theory cannot be applied in the case of regular employees who are paid for the month including weekly off days. In such cases, it should be number of days salary paid which would decide the number of days service.
From India, Kannur
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