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Benchmarking Leave Policies
Human Resources » Policies & Samples

Chrm Message From: sunil madan Total Posts: 28 Join Date: 05/01/2008
Rank: Executive Post Date: 05/01/2008 23:16:20 Points: 140 Location: United States


I have just joined this community and am glad to do so. I would like to compare leave policies of some IT companies to benchmark our policies.

If its convenient, I could call some of you to discuss the same if its against your company policy to mail this out.

thanks and regards


Chrm Message From: rajasekar Total Posts: 57 Join Date: 05/01/2008  
Rank: Manager Post Date: 05/01/2008 23:21:05 Points: 285 Location: United States


There are two types of Leave policies followed by the IT companies that I am aware of.

Type 1

The conventional style of 21 earned Leaves (EL), 6 Casual Leaves (CL) and 6 Sick Leaves (SL).

In some organizations this 6 CL and 6 SL are clubbed to 12 CL or 12 SL

By the year-end the EL and SL are carried forward and the CL lapses.

You can accumulate at the max 42 EL and then get them enchased. SL is not enchased.

If you are taking an EL any holiday or weekends falling in between are added to it. In case of CL and SL it’s not the case. You cannot club CL with any of the leaves.

In this there is 90 days maternity leave and 3 days paternity leaves.

Apart from this there are 10 declared holidays and some organizations also have the funda of 5 restricted holidays (RH)

Type 2 

It’s a very simple policy were there is no CL, SL or EL but just a 30 business days holidays in the year. 

What it means that you can take 30 working days in a year as leaves in one go or in intervals. 

No holidays or weekends falling in between are added. 

At the year-end 15 leaves get lapsed and 15 gets carried forward. 

It simple to calculate and easy to administer and understand. 

Maternity and paternity leaves remain the same. 

10 declared holidays remain the same.

Suggestions from other members are welcomed.



Chrm Message From: chintan Total Posts: 20 Join Date: 05/01/2008  
Rank: Executive Post Date: 05/01/2008 23:23:36 Points: 100 Location: United States

I have a doubt abt ur EL policy. EL is based on calendar year and even if an employee doesn't complete 1 yr service, he is entitled to PL as per the Factories Act, if he has completed 240 days in a year (or on pro rata basis).

Eg: if an employee joins on 1st July 2002, and he works for at least 120 days till 31st Dec 2002 (120 days is on prorata basis for 6 mths), then he is entitled to 1 PL for each 20 days that he has worked during the said period. Also he is entitled to avail this PL from 1st Jan 2003.

Hope this clarifies ur concern.


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