Leave incasement on resiganation/termination
Dipak
(Querist) 24 August 2013
This query is : Resolved
Dear sir,
Can employee working less than 240 days in orgination entitle to leave encasement on his/her resigantion ? what will be if he is terminated before compleation of 240days? what is excate law regarding leave and leaveencashment?
Kumar Doab
(Expert) 24 August 2013
EL/PL/Annual Leave is defined in Factory Act, Shops and Commercial Establishment Act, The Small Enterprises (Employment Relations) Act 2002.
It may also be as per negotiated bilateral agreement between Employees and Employer offering better benefits as in above enactments.
You may also look into standing orders of the company, Leave policy of the company.
Depending upon what is your establishment: you may look into the applicable enactment.
Rajendra K Goyal
(Expert) 24 August 2013
It depends upon your Company rules, policy. Go through these rules and if eligible proceed for claim.
Dipak
(Querist) 26 August 2013
Thanx for reply.
We are pvt ltd co. and as per factory act person eligible for PL/cl/sl if they worked more than 240 days.
Hr says we gives EL eventhough person does not work more than 240 days.we are in textile industry and labour T/o ratio is quit high. i feel that this is like charity.he says we do this on safer side.
As per my knowlede company following factory act provision.
I am confused that how can it be possible that workers are not entile to EL but they have been paid when they resign against their EL.Hr not allowing credit of Pl but incash EL on resignation of employee.
Plz Advice me.
Kumar Doab
(Expert) 27 August 2013
You may go thru;
THE FACTORIES ACT: CHAPTER VIII, Annual Leave with Wages: 79. Annual leave with wages
The provisions are simple to understand.
You may discuss with elders, peers, colleagues, HR consultants, labor consultants whenever required.
The period is counted as Calendar year i.e. Jan-Dec……….
If employee has joined in middle of the calendar 2/3 rd of days he should be present………………..
Under this Act rules are same for all employees…………….
The leave is encashed at the time of separation.
Raj Kumar Makkad
(Expert) 29 August 2013
As the matter pertains to a private company so better to go through the leave rules of that particular company.
