Dear Sir,
We are a medium sized manufacturing Company ( Private Limited ) registered under Factories Act - Pune -Maharashtra.
My boss MD wants to en cash the earned leave - leave on quarterly basis.
As per my best knowledge employer has to keep minimum 30 PL to the credit of respective employee & over & above can be encashed.
Request you to all seniors to throw light on it with any Apex Court Judgements.
You can assist me at
Thanks in advance.
Prashant
From India, Pune
46We are a medium sized manufacturing Company ( Private Limited ) registered under Factories Act - Pune -Maharashtra.
My boss MD wants to en cash the earned leave - leave on quarterly basis.
As per my best knowledge employer has to keep minimum 30 PL to the credit of respective employee & over & above can be encashed.
Request you to all seniors to throw light on it with any Apex Court Judgements.
You can assist me at
Thanks in advance.
Prashant
From India, Pune
Dear Prashant,
Kindly explain what your director wants exactly??
He might be planning to opt for leave encashment which is followed in many small companies wherein the company considers every leave by employee as Leave Without Pay and his salary is deducted and he is given encashment at the end of year as per 1 Day leave for 20 days work(for adults).
Although the above system followed in many small size companies , it is not permitted by Law and you can attract penal provisions for that.
Kindly correct if am wrong!!!
From India, Mumbai
Kindly explain what your director wants exactly??
He might be planning to opt for leave encashment which is followed in many small companies wherein the company considers every leave by employee as Leave Without Pay and his salary is deducted and he is given encashment at the end of year as per 1 Day leave for 20 days work(for adults).
Although the above system followed in many small size companies , it is not permitted by Law and you can attract penal provisions for that.
Kindly correct if am wrong!!!
From India, Mumbai
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FACTORIES ACT-leave rules.doc
Factories Act-Sec.79-Leav e.pdf