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Loss of Pay

(Querist) 20 June 2011 This query is : Resolved 
(1) Whether an employer can unilaterally take a decision to treat an employee on loss of pay.
(2) Does law require such communications from the employer should be under acknowledgement from the employee
(3)Does loss of pay means break in service and does law require an employer to give notice to the employee to that affect
Isaac Gabriel (Expert) 20 June 2011
If no other kinds of leave is eligible,the employee can request in writing to treat the period of absense as loss of pay.It depends upon the service conditions to treat the same as loss of pay.
K.S.Srinivas (Expert) 20 June 2011
1. It depends upon the leave regulations of the company concerned.
2. Normally the employer can not unilaterally take a decision to treat an employee on loss of pay. However, the unauthorised absence period can be treated leave loss pay besides awarding the punishment.
3. Leave on loss of pay does not constitute break in service.
4. Even though other types of leaves are at the credit of the employee, and in case the employee specifically puts up a request for sanction of leave on loss of pay, in such a case it can be sanctioned.
H. S. Thukral (Expert) 20 June 2011
If the employee has leave to his credit and he avails the same in emergency without prior sanction of the employer then the employer has to inform him why the leave is not sanctioned and he is being treated as absent without pay. If the employee does not have leave to his credit and he absents himself he will get no wages for that day and formula no work no pay shall apply and employer does not have to give any notice. In case of strike if the employee absents himself and joins the strike then his wages sahll not be paybale for that day irrespective of the fact that he had balance leave to his crdit but employer shall have to give a notice to say that strike is illegal.


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