Dear All

We are a manufacturing unit and I need to design a leave policy for my company.

My query is that is there any law in factory act which says something about minimum leaves.

Is this is necessary to divide leave as CL PL and SL.

Kindly reply soon as it is very urgent
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With Regards
Samir

Leave rules are made by the respective organisations. The Factories Act, provides for leave (with wages) at the rate of 1 day per 20 days worked in the proceeding year. The Act says that those workers who have actually worked for at least 240 days dueing the last year shall be given in this current year leave @ 1 day per 20 days, therefore a minimum of 12 days. This leave, if not availed can be carried forward to next year along with the leave he earns this year. In order to arrive at whether one had worked for 240 days, the days of lavy off, legal strike days, the days of medical leave due to employment injury, maternity leave days, public holidays and casual leave days will be taken as days worked. Therefore, one who had 210 days of work last year but was on leave due to employment injury for 15 days, was on leave (leave earned in the previous year) for 10 days and was there were 5 days lay off during last year will be eligible for leave this year, but he will get leave based on his actual attendance only, that is for 210 days @ 1 per 20 days.

The above mentioned is the leave rules as per Factories Act. The leave as per Shops & Establishments Act is also similar, bur there may be difference in the number of days for which leave is earned, say instead of 20 it may be 15, since the Shops & Establishment Act is not a central Act, and there will be separate Act for each state.

In addition to the aforesaid leaves which are certainly earned leaves , most of the companies give casual leave right from the first month of one's joining. As such it is proper to give 12 days casual leave in addition to the earned leave. Other leaves, such as sick leave, special leave etc depends on confirmation of employees. This is so because, no employee shall be permitted to take advantage of leaves and "LEAVE SHOULD NOT BE A RIGHT OF EMPLOYEE". The employer will have the right to refuse leave if circumstance calls for one's employment on the day. Therefore, it is always desirable that during the first year, or during probation, leave shall be restricted to casual leave only though the Factories Act or Shops & Establishments Acts provide for leave during the second year onwards only.

Regards,
Pinky