Dear Seniors,

I am Asmita, working with an IT company in Pune. We are standardizing our processes, and I have queries regarding leave calculations.

Let's consider the first scenario:
If an employee takes leave on Friday, and Saturday & Sunday are weekly off, and then takes leave again on Monday, should we count Saturday & Sunday as leaves?

Moving on to the second scenario:
If an employee goes on continuous 10 days of leave, should we also count Saturday & Sunday as part of their leave, or only consider the working days?

I would appreciate your guidance on the current trend for leave calculation in IT companies.

Thanks in advance.

From India, Pune
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Hi Asmita,

The leave calculation is purely based on your company's leave policy. Few companies have a policy to count Saturday and Sunday as leave if that is going to be a Privileged leave. Few companies do not consider Saturday and Sunday for leave calculation. To streamline this, you should have a clear Leave Policy in your company.

Regards,
Priya

From India, Bangalore
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Hi Asmita,

Every company has its own leave policy, but in general, if a person takes leave for Friday, and Saturday & Sunday are weekly offs, and he'll join his duty on Monday, then Saturday & Sunday will not count as leave. If he does not come on Monday as well, then Saturday and Sunday will count as leave.

Continuous 10 days leave: Any weekly off will count as leave.

Thanks

From India, Hyderabad
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Thanks Priya. but, to streamline our policy & to define it clearly. I need to know what other companies are doing? Let me know how do u calculate in your company in such scenario?
From India, Pune
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Dear Asmita,

As a standard process, you have to consider the weekly off as leave if the employee is taking preceding and succeeding leaves to the weekly off. It's normally termed as 'SANDWICH LEAVES'. You can include/frame the policy with respect to this.

From India, Pune
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Dear Asmita,

As everyone specifically mentioned, the leave policy is an internal matter for every organization. However, an IT company falls under the Shop & Establishment Act. Accordingly, sandwich leave should be counted as 4 days off, which include Friday, Saturday, Sunday, and Monday. In an IT company, there are Compensatory Offs, so Saturday and Sunday are excluded.

Mostly in IT organizations, there is 1.6 days of Paid Leave for every completed month of service and 8 days of sick leave, i.e., 2 days per quarter.

As an HR professional, you should always frame policies that are employee-friendly while considering the different Acts.

Thanks and warm regards,

Pranab Kumar
Email: pranab.kumar@gmail.com

From India, Mumbai
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I've noticed that on this forum, there are a lot of queries about leave and salary calculations. Here is a piece of advice that might hold all HR professionals in good stead. Try to study the legal guidelines. These may be available in the Shop and Establishment format or the Industrial Labour Act format. Do a detailed study of the work environment that you are currently operating in. Draft your leave policies based on the work environment but ensure that you have covered all labor law and legal requirements.

Like they say, there are no free lunches... you need to put in the hard yards!

From India, Pune
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There is no standard rule for considering Sat & Sun or not. It's all based on the HR and management decision, taking the environment and employees into consideration.

I have seen some companies considering Sat & Sun as leaves, some are not. Some give fewer PLs and do not consider Sat & Sun as leaves, while some give more PLs and consider Sat & Sun as leaves.

From United States, Ogden
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Dear Seniors,

Urgent help is required on the computation of Paid/Earned leave encashment. Please refer to Sec 80 of the Factories Act, which states that wages during the leave period should be provided. It includes that a worker shall be entitled to wages at a rate equal to the daily average of his full-time earnings for the days. Kindly advise if wages mean as per Sec 2h[(vi) & 2h of the Minimum Wages Act is the same, or if wage as described in the EPF Act Sec 2b applies. Kindly advise on which wage the employer is liable to pay for encashment.

Regards, Pankaj

From India, Chandigarh
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Hi Asmita,
As you have requested, please find below the terms in my company’s leave policy:
1) Casual Leaves, 7 days in a year : Sandwich leave applies (if an employee takes leave on Friday and the subsequent Monday, then even Saturday and Sunday is counted as leave taken, but it does not apply if the employee avail’s leave on Friday and comes to work on Monday)
2) Sick Leave, 7 days in a year : Only working days are calculated for leave (no weekly offs / holidays in between the leaves are counted)
3) Privileged leaves, 21 days in a year: All weekly offs and holidays during the leave period is counted as leave
However, in my previous organization we had all to gather 30 days of Annual leaves in a year (there was no Casual / Sick / Privileged leave split), and only working days were counted.
Hope that helps.. Choice is yours:)
Regards,
Priya

From India, Bangalore
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