Earn Leave reimbursement

Querist : Anonymous (Querist) 06 January 2010 This query is : Resolved
Dear All,

I am working in Private Limited Company where in we are intitled for 12-13 earn leaves every year depnding on our attendance.

Recently company has announced that they will start reimbursing the earn leaves on yearly basis but the amount will be paid only on basic salary.

For example person is having salary of Rs 45000/ per month and his basic salary is rs 10000/= per month so hisearn leave amount will be calculated on the basis of basic salary but if company have to deduct the salary they will deduct from complete salary means company is trying to reimburse at Rs.333/= per day but would deduct Rs 1500/ from salary. My question is what should be apprioprate way to reimburse earn leave.

Please help as it is a matter of 200 peoples.

regards,

Gurjeet Arora

Follow Query

Report Abuse

Raj Kumar Makkad (Expert) 06 January 2010
Right to encashment of earned leave is not your civil right rather it is a reward by company recently introduced which do not form your appointment letter/agreement of service so you cant compare the matter of such reward with the deduction of absence.

B K Raghavendra Rao (Expert) 07 January 2010

Earned leave encashment goes with the terms attached to it. In many industries, earned leave is not encashed on the entire balance leave at credit. Certain number of days of leave say 30 days for example, shall be kept as minimum balance and the rest of the leave could be encashed once in a year.

In your industry, if the term is to pay only basic in lieu of earned leave accumulated, nothing could be done about it.

When an employee renders himself liable for deduction of salary, he shall lose the entire salary and you cannot say, even though I am absent pay me allowances but not the basic salary.

However, your trade union may raise the issue with the Management at the bilateral meetings and arrive at settlement for payment of basic salary along with dearness allowance.

Previous

Next

You need to be the querist or approved LAWyersclub expert to take part in this query .

Click here to login now

Similar Resolved Queries :

Ask Query
Unanswered Queries