Applicable National & Local Law:

The Factory Act, 1948.

The Industrial Employment (Standing Orders) Act, 1946 and associated rules.

Policy Statement:
A leave policy sets out the various types of leave for different situations like sickness, maternity,
emergency etc. it specifies rules for various aspects like granting of leaves and eligibility of
availing.

Objective:
The objective of the Leave Policy is to give provision to the employees to balance their personal
as well as professional life. XYZ. Leave Policy is also meant to fulfil the statutory requirement
regarding leave and holidays

Scope:
This Policy applies to all Employees of XYZ.

Responsibility:
Primary Responsibility -Officer -Human Resource
Secondary Responsibility: -Manager- Human Resource

1.0 GENERAL LEAVE GUIDELINES

 Leave cannot be claimed as a matter of right. Any kind of leave can be granted or refused
depending upon the business demands. Leave of absence from work without proper approval will
call for disciplinary action.
 The calendar year for leave is from January to December.
 All leaves should be applied as per the Annexture-I which is enclosed on the last page of the policy
is called the Leave application form which is to be filled and submitted to HR after getting approval
from the reporting head in case of out-of-station work leave can be applied by mail before proceeding
on leave.
 In case of emergency, when leave cannot be applied in advance, telephonic intimation to the immediate
reporting manager who will accept one leave in a month which is called emergency leave.
 An employee can avail paid leave depending upon the leave balance available to employee. Also,
unpaid leave can be availed when the leave balance is exhausted and employee is in need of
leave, on approval from the immediate manager/HOD.
 Employees on probation period will be eligible for all company benefits after confirmation only.
 If an employee is absent continuously for 7 days beyond sanctioned leave with no information, in
this case, HR will send 2 warning letters to the employee for misconduct of policy, if the
employee is not responding the Management has the full right to cancel the employment with
immediate effect.

 In case of prolonged illness or leave of absence from work an employee is supposed to inform
the immediate reporting manager at regular interval about their condition and most probable date
 of return. If he/she returns to work on said date he/she has to submit a medical report of his/her
illness if there is the absence of any communication from the employee serious action can be
taken by the company.
 Leave without approval will be considered as leave without pay.
 Weekends and any holiday lying between the sanctioned leave periods will be included and
counted as leave.
 In case of planned, leave it is employee responsibility to apply for leave in advance, at least 3
days before, however in case of unplanned leave employee must regularize leave within 2 days of
resuming duty.

2.0 CASUAL & MEDICAL LEAVE

 Casual leave is meant for emergencies and unforeseen circumstances, which prevent an individual
from coming to his work.

 Employees at all levels are entitled to 6 days each for casual & 6 days of medical leave (only
applicable for those who is not covered in ESIC )

 The employees joining (after confirmation )the company during the calendar year will be entitled to
the CL on a pro-rata basis.

 Employees will be allowed to take Casual leave on the condition that it is intimated and
approved by HOD.

 The maximum number of casual leaves at one time that are allowed is 2 days. If the employee
wants the leaves to be extended, the leaves will normally be without pay- on the condition that
such leaves are applied and informed to HRD through their respective HODs. Unapproved leaves
will be considered as absent.

 Casual Leave cannot be combined with Earned Leave. In case of an unfortunate event of death
within the immediate family, the CL can be combined with Earned leaves on the prerogative of
management discretion if available subject to a total maximum of 9 days.

 Medical leaves can be merged with Earned Leaves as per the provision of the Factories Act.
 Casual Leaves can be prefixed or suffixed to weekly holidays and/or paid holidays. Intermittent
holidays will be counted as leaves.
 Casual Leaves are non-accumulative & not encashable and will automatically lapse at the year end.

 Employees who have exhausted their casual leaves shall be treated as being on leave without pay
for any additional leaves are availed.

 All casual leave forms should reach the HR departments within 48 hours of the leave being
availed.

 Medical leave is merged with casual leaves and will be granted for a maximum period of 2 days
without submission of a medical certificate. In case of employees availing more than 2 days leave;
it will have to be supported by a Medical Certificate from a medical practitioner.
3.0 EARNED LEAVE

 Earned Leave shall be granted as per norms prescribed under the factories Act 1948 of respective
states.
 Earned Leave shall accrue only when employee has worked at least 240 days in the year or in case
employee joining in course of the year on any date after 1st January, has worked at least 2/3rd days
of the period of service in that year.

 An employee is eligible for one day Earned Leave for every 20 days worked in a calendar year,
excluding Sundays and Holidays.

 In case of employees joining in the year, proportionate Earned Leaves shall be credited on pro-rata
basis for the calendar year. Thereafter leave shall be credited at the beginning of every year.

 Earned Leave cannot be combined with Casual Leave unless in case of unfortunate event of Death
in Immediate family- on the prerogative of management discretion.

 Earned Leaves can be availed to a maximum of Four time and only 3 leave in a time in a year.

 Earned Leaves can be prefixed or suffixed to weekly holidays and/or paid holidays. Intermittent
holidays or weekly rest days will be counted as Earned leaves.

 Approved leave Application form should be submitted at least 10 days before going on Earned Leave.

 HRD/personnel will be responsible to check the eligibility of the employee to take the respective
leave as per this leave policy before the approval in case of EL, and in case of SL/CL after the approval
but before data entry of the SL or CL into the system.

 Staff wishing to proceed on Earned Leave have to get the leave sanctioned from their respective HODs
at least 10 (Ten) days in advance and submit the Leave Form (Annexure 1) to the HRD/Personnel.

 Earned Leave can be accumulated for a maximum period of 30 days for all levels. This connotes that,
as on 31st December of each year a maximum of 30 days closing balance will be allowed for all
employees across the group.

 Accumulated EL over and above 30 days will be lapse automatically

 Earned Leaves can be prefixed or suffixed to weekly holidays and/or paid holidays. Intermittent holidays
or weekly rest days will be counted as Earned leaves.

4.0 Maternity Leave

 All confirmed female employees shall be entitled for Maternity leave as per the amendment in
Maternity Benefit Act 2017, with full pay for a period of continuous 26weeks (excluding national
holidays) for each pregnancy up to a maximum of 2 confinements only.
 For 3rd child birth only 12 weeks Maternity Leave is applicable.
 Any women under ESIC Act can avail Maternity Leave only after having 70 working days in the
12 months preceding her expected delivery date.
  Women not covered under ESIC Act can avail only after having 80 working days in the 12 months
preceding her expected delivery date.
 The amendment to the Act also grants 12 weeks of maternity leave to women who lawfully adopt
a child below three months of age and a commissioning mother.
 A woman employee can take maternity leave earliest 8 weeks before the expected date of delivery
and the remaining time can be taken after the child birth.
 The woman employee proceeding on Maternity leave must also submit certificate to HR
if required.
 All required documents must be submitted to HR as per followed by the Maternity Policy.

5.0 Cancellation of leave

 Approved leave can be cancelled depending upon the business demand.
 Leave once cancelled by reporting manager, a notification should reach to HR. Leave balance will be
updated accordingly by Human Resource.

6.0 Extension of leave

 In case of extension of leave due to any unforeseen circumstances the employee must inform
reporting manager in advance; once extension of leave is approved by reporting Manager, it is
Managers Duty to Inform HR. This is the case when leave extension has been told verbally or
over the phone.
 The extended leave must be informed to Reporting manager and HR.
 In case employee overstays, without approval it will be treated as absence from duty and
disciplinary action will be taken against the employee.
 Leave extended without permission will be treated as loss of pay.

Revision of the policy

The company reserves the right to revise, modify any or all clauses of this policy depending upon demand
of business.

Holidays
All Employees of XYZ. are entitled to have 12 Holidays in the every

year as per the management decision.

 Note-
List of Types of Leave
Annexure-I -Leave Application
Types of Leave

S.n Type of Leave No of Leave

.
1 Casual Leave 6 / Per Year
2 Medical / Sick Leave 6 / Year
3 Earned Leave 1=20 working day
4 Maternity Leave 6 month/ As per maternity policy
5 Holidays 12
 Annexture-I

Leave Form

Name Of Employee__________________ Date of Application_____________

Designation________________________
Department________________________

Types of Leave- CL _________________SL______________________EL__________________________

(That above leave you can only avail if you have balance of leave)

Required Leave -From (Date) ______________To (Date)_____________Total No of Leave____________

Reason Of Leave________________________________________________________________________

Sanctioned by /Rejected by (Department Head) ________________________________________________

Reason if rejected_______________________________________________________________________

Approved By: __________________

Prepared by Checked by Approved by