Dear All
As per Section 79(5) of the Factories Act as applicable to AP, earned leaves can be accumulated upto 30 days for adults. Does this means that Company has to encash the balance leaves ? Eg if the company has 15 days EL
In FY 06 - EL balance is 10 days
In FY 07 - EL balance is accumulated to 20 days
in FY 08- employee has not taken any leaves and balance in El would be 35 days ( 10+10+ 15 )
pursuant to section Section 79(5) of the Factories Act does this means that company has to encash 5 leaves in FY 08 as accumulation is limited to only 30 as per the said section?
Also please clarify can management make it a policy to ask employees to take compulsorily some portion of EL every year. Please quote relevant legal position.
Regards
From India, Hyderabad
As per Section 79(5) of the Factories Act as applicable to AP, earned leaves can be accumulated upto 30 days for adults. Does this means that Company has to encash the balance leaves ? Eg if the company has 15 days EL
In FY 06 - EL balance is 10 days
In FY 07 - EL balance is accumulated to 20 days
in FY 08- employee has not taken any leaves and balance in El would be 35 days ( 10+10+ 15 )
pursuant to section Section 79(5) of the Factories Act does this means that company has to encash 5 leaves in FY 08 as accumulation is limited to only 30 as per the said section?
Also please clarify can management make it a policy to ask employees to take compulsorily some portion of EL every year. Please quote relevant legal position.
Regards
From India, Hyderabad
Dear All
As per Section 79(5) of the Factories Act as applicable to AP, earned leaves can be accumulated upto 30 days for adults. Does this means that Company has to encash the balance leaves ? Eg if the company has 15 days EL
In FY 06 - EL balance is 10 days
In FY 07 - EL balance is accumulated to 20 days
in FY 08- employee has not taken any leaves and balance in El would be 35 days ( 10+10+ 15 )
pursuant to section Section 79(5) of the Factories Act does this means that company has to encash 5 leaves in FY 08 as accumulation is limited to only 30 as per the said section?
Also please clarify can management make it a policy to ask employees to take compulsorily some portion of EL every year. Please quote relevant legal position.
Regards
From India, Hyderabad
As per Section 79(5) of the Factories Act as applicable to AP, earned leaves can be accumulated upto 30 days for adults. Does this means that Company has to encash the balance leaves ? Eg if the company has 15 days EL
In FY 06 - EL balance is 10 days
In FY 07 - EL balance is accumulated to 20 days
in FY 08- employee has not taken any leaves and balance in El would be 35 days ( 10+10+ 15 )
pursuant to section Section 79(5) of the Factories Act does this means that company has to encash 5 leaves in FY 08 as accumulation is limited to only 30 as per the said section?
Also please clarify can management make it a policy to ask employees to take compulsorily some portion of EL every year. Please quote relevant legal position.
Regards
From India, Hyderabad
Any unavailed earned leave over and above 30 shall be encashed.
The company cannot compel employees to take leave to avoid encashment. However, during recession if the management finds that lesser number of workers need be deputed for work, the management can request the employees to avail leave according to a schedule made in this respect. This can be practiced as a measure to avoid lay off or even sudden stoppage of production. But this requires support of the employees.
Regards,
Madhu.T.K
From India, Kannur
4249The company cannot compel employees to take leave to avoid encashment. However, during recession if the management finds that lesser number of workers need be deputed for work, the management can request the employees to avail leave according to a schedule made in this respect. This can be practiced as a measure to avoid lay off or even sudden stoppage of production. But this requires support of the employees.
Regards,
Madhu.T.K
From India, Kannur
Dear Madhu sir,
We are enlighted with your answers backed by solid legal grounds.
In one of the organizations they are giving 30 days earned leave to supervisors who worked for one year in the previous year. However, for workers they follow the rule in Factory law.
Would you please throw some light and give your considered advise on how they are giving 30 days earned leave to superviosrs with legal background
Thanks and regards
B.Dakshina Murty
From India, Hyderabad
We are enlighted with your answers backed by solid legal grounds.
In one of the organizations they are giving 30 days earned leave to supervisors who worked for one year in the previous year. However, for workers they follow the rule in Factory law.
Would you please throw some light and give your considered advise on how they are giving 30 days earned leave to superviosrs with legal background
Thanks and regards
B.Dakshina Murty
From India, Hyderabad
There is nothing wrong in making two rules for factory staff and office staff. Office staff being not given overtime wages, they can enjoy flexible timing and more leaves. So long as the number of leaves given is not less than what is mandatory under the Act, it will have legal sanctity also. In some cases, where the office is situated outside the factory premises, the office will be under the Shops and Commercial establishments Act under which the the number of leaves is more than what is to be given under the Factories Act.
Madhu.T.K
From India, Kannur
Madhu.T.K
From India, Kannur
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Karnataka Leave.xlsx
LEAVE APPLICATION.doc