Dear Members, I am from real estate company and would like to know about the Leave Encashement rule in India. Is it applicable to all industry and how to calculate the same. Thank you.
From India, Pune
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From India, Pune
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Hi,
Leave encashment is paid annually for the number of earned leaves (total number of earned leaves to be given is decided by the management) left in the employee's account. It is also under taxable income.
Normally, leave encashment is done by two types:
(a) Mostly - Basic+DA/26 * number of days leave to be encashed
(b) Very less - Gross salary/30 * number of days leave to be encashed (ALMOST PER DAY SALARY/30 * UNUSED LEAVES)
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80Leave encashment is paid annually for the number of earned leaves (total number of earned leaves to be given is decided by the management) left in the employee's account. It is also under taxable income.
Normally, leave encashment is done by two types:
(a) Mostly - Basic+DA/26 * number of days leave to be encashed
(b) Very less - Gross salary/30 * number of days leave to be encashed (ALMOST PER DAY SALARY/30 * UNUSED LEAVES)
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Dear Trupti,
There are 3 types of leaves: 1. EL/PL 2. SL 3. CL.
According to Indian law, an employee earns 1 EL for every 20 days worked in the plant. However, most companies provide more EL than the minimum required by law, as the law always addresses the minimum requirement. Employees have the right to claim reimbursement for all unused EL, as explained by Mr. Manoj Devda.
Regards,
Nishant
From India, Mumbai
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There are 3 types of leaves: 1. EL/PL 2. SL 3. CL.
According to Indian law, an employee earns 1 EL for every 20 days worked in the plant. However, most companies provide more EL than the minimum required by law, as the law always addresses the minimum requirement. Employees have the right to claim reimbursement for all unused EL, as explained by Mr. Manoj Devda.
Regards,
Nishant
From India, Mumbai
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Hi,
Leave encashment will be applied in cases where the employer is not willing to grant leave due to workload. If an employee does not take any leave despite leave being available in the proper number, it should be forfeited. Leave encashment is not a legal right of the employee, but taking leave is their right. Establish a company policy that any unused leaves exceeding 60 will be forfeited so that employees take their leave timely.
Regards,
Madhusudan Mishra
From India, Indore
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Leave encashment will be applied in cases where the employer is not willing to grant leave due to workload. If an employee does not take any leave despite leave being available in the proper number, it should be forfeited. Leave encashment is not a legal right of the employee, but taking leave is their right. Establish a company policy that any unused leaves exceeding 60 will be forfeited so that employees take their leave timely.
Regards,
Madhusudan Mishra
From India, Indore
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Dear All,
Kindly provide answers to the following queries:
- What amendments have occurred in EL/PL?
- When will it be credited to employees' accounts?
- Is there a policy for leave encashment as per the law?
Please send your replies at the earliest.
Thanks & Regards,
Jagan
From India, Bangalore
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Kindly provide answers to the following queries:
- What amendments have occurred in EL/PL?
- When will it be credited to employees' accounts?
- Is there a policy for leave encashment as per the law?
Please send your replies at the earliest.
Thanks & Regards,
Jagan
From India, Bangalore
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