Saturday, August 7, 2010

Leave Balance Issue

I am getting leave one day per month, now I’m in notice period. I have 10 days leave balance. Since I’m in notice period, company is not calculating current month of leave. They are ready to pay only for 10 days not for 11 days…Should I get 10 days pay r 11 days pay?

As per Section 79 Clause 1 and 1 (i) of Factories Act, 1948 if employee worked for a period of 240 days or more in a factory he shall be allowed for leave with wages. In case of an adult leave will be calculated at the rate of one day for every twenty days of work performed by him. There is no direct nexus between notice period and leave falling in employee bucket. According to me you are entitled for 1 days leave if you had worked more than 20 days in month during notice period. (In your case total leave will become 11 days)

Basic purpose of notice period (for employer) is that the organization can have enough time to find a replacement and notice period serving employee can train the replacement for that particular position. Notice period do not give rights to management to discriminate employee and arbitrary make such policy which are against the basic rights of employees.

Organization should [must] not indulge in such practices. It’s not only illegal, unethical but it can lead to culture where employee leave organization without serving the notice period and it can also hamper the image of organization. This will have more devastating effect on organization in long run and I think no management want this.