Please help me to draft a new leave pattern for my company,its Pvt Ltd Company.
I want to know about Leave Encashment methods as we don't carryforward the leaves for the next year.Please guide me.....
Regards
Lisha
From India, Mumbai
I want to know about Leave Encashment methods as we don't carryforward the leaves for the next year.Please guide me.....
Regards
Lisha
From India, Mumbai
Hi Lisha.
Wish you Happy and Prosperous New Year.
As per law.. every company should provide CL , SL for a year and EL to be given as per his/her worked days eg. 20 days worked = 1 leave earned. EL normally credited after completion of one year. In our company any CL remained get lapse at the end of year. SL carry forward to next year and can be accumulated upto 3 yr and EL accumaled for 5 years.. after that it get lapse.
We are introducing also Leave Encashment Policy for the E L only..
Pls. refer to the factories act and get the details of Leave Policy.
that much I could share.
regards
Patro
From India, Mumbai
2Wish you Happy and Prosperous New Year.
As per law.. every company should provide CL , SL for a year and EL to be given as per his/her worked days eg. 20 days worked = 1 leave earned. EL normally credited after completion of one year. In our company any CL remained get lapse at the end of year. SL carry forward to next year and can be accumulated upto 3 yr and EL accumaled for 5 years.. after that it get lapse.
We are introducing also Leave Encashment Policy for the E L only..
Pls. refer to the factories act and get the details of Leave Policy.
that much I could share.
regards
Patro
From India, Mumbai
Hi
Here is sample draft You can modify reword and do whatever you want to do!!
1.This is applicable to all categories of employees of the organisation
2.An employee must have completed two years of service before availing leave encashment
3.Leave and leave encashment shall be calculated for the Calendar Year
4.Only Earned leave shall be encashed No Sick leave or casual leave shall be encashed(If you want to add these leave as well then include)
5.An employee will be encashed with the balance of leave unavailed as of 31st Dec every year and this will be paid along with their salary payable for the month of January
6. An employee must have earned leave for the previous year and must have atleast 10 days of leave to his/her credit after encashment
These are some guidelines
If you want detailed, send me your leave rules and I can draft a circular and send it across
This will be free service!!!!
Siva
From India, Chennai
Here is sample draft You can modify reword and do whatever you want to do!!
1.This is applicable to all categories of employees of the organisation
2.An employee must have completed two years of service before availing leave encashment
3.Leave and leave encashment shall be calculated for the Calendar Year
4.Only Earned leave shall be encashed No Sick leave or casual leave shall be encashed(If you want to add these leave as well then include)
5.An employee will be encashed with the balance of leave unavailed as of 31st Dec every year and this will be paid along with their salary payable for the month of January
6. An employee must have earned leave for the previous year and must have atleast 10 days of leave to his/her credit after encashment
These are some guidelines
If you want detailed, send me your leave rules and I can draft a circular and send it across
This will be free service!!!!
Siva
From India, Chennai
First refer the concerned land laws whtehr your company fall under Factories act or Shops act or Mines act ot Motor vehicles act . No act says about leav encashment. But it spcifies abovt accrual of leave. Please draft the policy complying with relvant provisions in the act applicable in your case.
Ifeel the suggestion given above by our learned friends are practices follwed in their respective compnies only.
Thanks
L N Murty
Corporate Head- HR
GTN Industries Limited
Hyderabad
Ifeel the suggestion given above by our learned friends are practices follwed in their respective compnies only.
Thanks
L N Murty
Corporate Head- HR
GTN Industries Limited
Hyderabad
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PF Contribution on Leave Encashment - Clarification by EPFO.pdf
EPFO Circular Leave Encashment.jpg