Anonymous
Hi All, Could anyone throw light on the encashment of EL Leaves for employees? If the employee has > 20 EL Leaves balanced at the time of relieving of his duties in a particular organization, Can any organization deny sighting their internal policy of non-encashment of EL leaves regardless of any particular position in the organization?
From India, Pune
J S Malhotra
22

Hi! The encashment of Earned Leave can be denied to an employee, if there is no such policy exists in the organization. JSM
From India, New Delhi
rkn61
625

Encashment of EL depends upon HR policy of the company.
Generally, many companies do encashment of unavailed portion of EL, at the time of Final settlement of employee, on resignation/retirement.
In your case as your company policy does not allow encashment of EL the employee could have availed EL.
However, HR can initiate steps for waiving off the policy as a very special case and arrange encashment of leave (by document it and put up to approval of MD/CEO through Finance head or CFO)
Thanks.

From India, Aizawl
R.N.Khola
363

If the organization is not covered under any the state or central labour laws on entitlement, grant, accumulation & encashment of EL then in that case management of such organization may frame their own policy to regulated the provisions of EL of their own otherwise we are to implement the applicable law on encashment of EL. In general most of the establishments are covered under either of the state S&E Act or Factories Act, 1948 wherein we have provisions on enachment of EL etc. although with some limitation.
R N KHOLA

From India, Delhi
pratheekshaa
20

No organization can frame regulations or policies against prevailing law , hence organization can not deny the leave encashment.
From India, Bangalore
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