Paid leave encash ment

if you fit under the definition of workman, then the encashmnt of PL shall be done under under the factoris act otherwise you would be covered under the shops and establishents act. you can claim the PL as it is ur right under the stautes.

encashment of earned leave can be done as per statutory provisions. statutory obligations will stand good . dont think about HR policy. that has not got legal binding. 

  Is  an Accounts   Manager working in a Factory regd under th Factories Act, 1948,   a workman for the purpose of Leave encashment on  resignation?

yes. accounts manager is also a "workman" under factories Act and he is also eligible for encashment of earned leave on his resignation.

firstly, you must look ino the fact whether your organisation is registered under the factories act or not.

if not u hall be governed by the shops andestablishment act.

yes if you are in any way connected to the manufacturing process of the organistaion you shall be held as a worker and the provision s of the Factories aact shall apply to you.

 How an Accounts Manager  can be  connected with Mfg  Process?   Since he maintains Accounts of the Company   or  complies  with   varioous laws concerning the Company,  can  he be treated as  indirectly connected with th mfg proces?  But, pl note  there is no direct  connection with Mfg process.      If this is the case,   can he  be called  worker for the purposes of Sec 79  o the Factories Act ?  pl  enlighten..  

It is the obligation of employer under various labour laws to allow leave with wages to employees.  However, except Factories Act there seems to be no law providing for employer's obligation to encash unearned leave of employees.  During recession period many companies have taken such a decision to control cost.  Such companies are asking employees to avail their accumulated leave within given time schedule.  I don't think it can be legally challenged.

Dear Mr. Agarwal,

apart from the Factories Act, the Shops & Est. Act of teh States provide provisions for paid leave/ earned leave. please check t for your convenience but the latter act shall apply to an establishment only when it is not registered under the Factories Act.

Dear Mr. Sampath ,

yes its a matter of research whthere the definition of worker shall include an accountant or not sice the definition of worker under the Fcatories Act is extremely wide which says any person connected with or incidental with the manufacturing process. at first instance, the same shall apply to an accountant alos but still it needs to be ascertained by saome case law. i ll lok out for the same and  let you kno soon.  

Dear Mr Manish,

Thanks for your message.  I am attaching Bombay Shop Act.  I find that Sec.35(2) talks about encashment only in cases where leave has been refused or employment ceases before availing leave.  In other cases during continuance of employment leave encashment is not obligatory on the part of the employer if the employee does not want to avail the leave.

Regards,

   Dear Sri.   manish Singh Sir,   I eagerly await  your  further communication in the matter.- Gratefully yours- sampath kumar

Dear Mr. Agarwal,

the same condition also exists under teh Fcatories Act. when you are fired or leave the services then only you can claim the PL/EL otherwise or not. the question raised by was not related to this area in fact it was something other as whether there any other enactment exists or not  relating to EL/PL.

Dear Mr. Kumar,

fortunately, the jusgments approve that when a person is engaged in any clerical work which is indispensibly connected with actual manufacturing process shall be a worker. State Vs AK Kanguli (1993) 2 Cur (LR) 57 :  (1993) 1 lln 791 : (1993)  67 FLR 627 (Mad)

please go through the said judgment

dear sir

i am working with a private limited firm my leaave encash ment earn in total 10 year  approx 136 day but company not pay EL  amount. what is the rule in act how maney days EL encash as per factory act please provide the act copy

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