Contract labour leave encashment rules

Querist : Anonymous (Querist) 05 September 2022 This query is : Resolved
There is a govt. security press in Nashik which is central, PSU. We have encashment semi-skilled and un-skilled workers from a conservancy service. Now, contractor is saying that since workers are entitled to 15 days CL and they have not claim their leaves so they are entitled to encash their leaves and if you are ready to reimburse the same then we will raise invoice. I need to ask whether contract workers are entitled to encash CL since nothing is written as such in the agreement. Plz guide.

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A contractor is requesting reimbursement for encashing unused Casual Leave (CL) for semi-skilled and unskilled conservancy workers. The query asks whether contract workers are entitled to CL encashment, especially when it's not explicitly stated in the agreement. The current opinion suggests that contract employees may not be eligible for leave encashment under relevant acts like the Shops and Commercial Establishment Act.

kavksatyanarayana (Expert) 27 September 2022
I opine, no leave encashment is available to the contract employees in the Nashik Press (currency notes press).

Sudhir Kumar, Advocate (Expert) 04 December 2022
please see Shops and Commercial Establishment Act.

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