Whether it is mandatory to have a policy of leave encashment. Whether it is covered under any act or law to have leave encashment in a company. If yes, please provide the legal provisions for the same.
Regards,
Yogesh
From India, Delhi
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Regards,
Yogesh
From India, Delhi
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Hi Yogesh,
As per Section 79(5) of the Factories Act, there is a provision for accumulation of up to 30 days and unlimited in case of refusal by the employer. Such accumulated leaves need to be encashed to the employee at the time of separation. However, one can create their own leave encashment policy, which I don't believe is a requirement of any law.
Regards,
Ravinder Singh
9811144445
From Singapore, Singapore
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3As per Section 79(5) of the Factories Act, there is a provision for accumulation of up to 30 days and unlimited in case of refusal by the employer. Such accumulated leaves need to be encashed to the employee at the time of separation. However, one can create their own leave encashment policy, which I don't believe is a requirement of any law.
Regards,
Ravinder Singh
9811144445
From Singapore, Singapore
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Hi All,
I am new to this forum and new to HR as well. I need all the HR formats like:
1. Appointment Letter
2. Offer Letter
3. Warning Letter
4. Appreciation Letter
5. Appraisal Letter
6. Interview Form
7. Exit Interview Format
8. Payroll Format.
Rajneesh Jain
From India, Ludhiana
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I am new to this forum and new to HR as well. I need all the HR formats like:
1. Appointment Letter
2. Offer Letter
3. Warning Letter
4. Appreciation Letter
5. Appraisal Letter
6. Interview Form
7. Exit Interview Format
8. Payroll Format.
Rajneesh Jain
From India, Ludhiana
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Hi all,
I am new to this forum and new to HR as well. I need all the HR formats like:
1- Appointment Letter
2- Offer Letter
3- Warning Letter
4- Appreciation Letter
5- Appraisal Letter
6- Interview Form
7- Exit Interview Format
8- Appraisal Procedure
9- Payroll Format from attendance to salary processing in Excel
10- Details about Provident Fund, ESIC, MLWF, and Gratuity calculation
11- Bonus calculation
12- Ratio calculation male/female
Thanks & Regards,
Vighnesh Bhuwad
From India, Mumbai
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I am new to this forum and new to HR as well. I need all the HR formats like:
1- Appointment Letter
2- Offer Letter
3- Warning Letter
4- Appreciation Letter
5- Appraisal Letter
6- Interview Form
7- Exit Interview Format
8- Appraisal Procedure
9- Payroll Format from attendance to salary processing in Excel
10- Details about Provident Fund, ESIC, MLWF, and Gratuity calculation
11- Bonus calculation
12- Ratio calculation male/female
Thanks & Regards,
Vighnesh Bhuwad
From India, Mumbai
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Dear All,
As rightly quoted, as per the Factories Act, accumulation of earned leave is subjected to a maximum of 30 days, and any leave above 30 days is automatically nullified. If an employer agrees to allow accumulation without imposing any conditions, it is permissible, and the leave shall be encashable after resignation/termination, etc., based on the last drawn salary (Basic + DA).
Some organizations have a policy of encashing leave every year after the completion of 30 days of leave accrual in order to minimize liability, which is also considered a good practice. Each organization shall have its own leave policy, provided that the Factories Act and its rules are followed.
Regards,
Chandru
Bangalore
From India, Bangalore
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As rightly quoted, as per the Factories Act, accumulation of earned leave is subjected to a maximum of 30 days, and any leave above 30 days is automatically nullified. If an employer agrees to allow accumulation without imposing any conditions, it is permissible, and the leave shall be encashable after resignation/termination, etc., based on the last drawn salary (Basic + DA).
Some organizations have a policy of encashing leave every year after the completion of 30 days of leave accrual in order to minimize liability, which is also considered a good practice. Each organization shall have its own leave policy, provided that the Factories Act and its rules are followed.
Regards,
Chandru
Bangalore
From India, Bangalore
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Dear Mr. Gupta,
It is up to the company's discretion to follow the Factories Act or to create their own policies for leave encashment. In either case, the company must pay for the accumulated number of leaves. The leave encashment is capped at 30 days for an adult worker who has worked for 240 days in the previous year under the Factories Act.
From India, Mumbai
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It is up to the company's discretion to follow the Factories Act or to create their own policies for leave encashment. In either case, the company must pay for the accumulated number of leaves. The leave encashment is capped at 30 days for an adult worker who has worked for 240 days in the previous year under the Factories Act.
From India, Mumbai
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Hi, Can anyone share me the different policies which are mandatory to be maintained by HR. Regards Indugir
From India, Hyderabad
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From India, Hyderabad
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Dear Friends, I am now moving to Hotel Industry, I want to know about some of the Employee Engagement Activities. Pls. tell me. Regards; Rahul Saxena
From India, Jaipur
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From India, Jaipur
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There is no statutory compulsion to take a Leave Encashment Policy, but Accounting standards insist on valuation of liabilities like Leave Encashment and Gratuity.
From India, Madras
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From India, Madras
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Hi friends Can employer refuse to leave encashment at the time of seperation to sr Manager or AGM kindly help
From India, Delhi
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From India, Delhi
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Dear Member,
An employer cannot refuse leave encashment of leaves at the time of separation if leave rules are in place for encashment of leaves, which are applicable to this employee. If no rules are specified, then examine under which act this manager is covered regarding encashment of leaves.
R.N.Khola
Sr. Vice President, Labour Law Advisers Association, Gurgaon.
User input:
Hi friends,
Can an employer refuse to leave encashment at the time of separation for a Senior Manager or AGM? Kindly help.
From India, Delhi
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An employer cannot refuse leave encashment of leaves at the time of separation if leave rules are in place for encashment of leaves, which are applicable to this employee. If no rules are specified, then examine under which act this manager is covered regarding encashment of leaves.
R.N.Khola
Sr. Vice President, Labour Law Advisers Association, Gurgaon.
User input:
Hi friends,
Can an employer refuse to leave encashment at the time of separation for a Senior Manager or AGM? Kindly help.
From India, Delhi
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Dear All, I would like to know as per factories act norms for Sick Leave and also whether your Immediate Supervisor does not allow you to take the same ? Then what to do ?
From India, Mumbai
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From India, Mumbai
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Hi Seniors, I am still waiting reply. Can employer refuse to leave encashment at the time of seperation to sr Manager or AGM. one has refused & not paid. kindly advise regards
From India, Delhi
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From India, Delhi
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Hi,
What is the ceiling on bonus and leave encashment? I have information that there is a ceiling on bonus of Rs. 10,000. If a company wishes to pay more, it will be considered an ex-gratia payment. Also, for earned leave (EL), only Basic and Dearness Allowance (DA) should be taken into account for calculation.
From India, Mumbai
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What is the ceiling on bonus and leave encashment? I have information that there is a ceiling on bonus of Rs. 10,000. If a company wishes to pay more, it will be considered an ex-gratia payment. Also, for earned leave (EL), only Basic and Dearness Allowance (DA) should be taken into account for calculation.
From India, Mumbai
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Our company is a registered private limited company operating chain stores in three different states. We are based in Mumbai, with the administrative office located in Chennai.
Please advise on how we should apply various statutory rules, and also provide information on the bonus and leave policies that are applicable to retail stores. Thank you.
From India, Mumbai
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Please advise on how we should apply various statutory rules, and also provide information on the bonus and leave policies that are applicable to retail stores. Thank you.
From India, Mumbai
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can anyone suggest me how i can approch & convience my management for leave eancashmen. i need some strong & logical point.
From Bangladesh, Dhaka
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From Bangladesh, Dhaka
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Office Order regarding Maternity Leave for Contractual employee as per Amendment Act 2017.pdf
FACTORIES ACT-leave rules.doc