New Labour Laws Mandate Payment for Excess Unused Leave

The upcoming labour laws will cap paid leave accumulation at 30 days per calendar year. Unused leave days will require compensation from the employer

A set of four labour laws poised for implementation will usher in significant changes across various employment sectors. Once these laws come into effect, a notable regulation stipulates that employees cannot accumulate more than 30 days of paid leave within a single calendar year. If an employee’s accrued leave days surpass this limit, it becomes the responsibility of the employer or company to compensate for the excess leave days. 

In this context, the ‘Occupational Safety, Health and Working Conditions Code,’ one of the four labour laws, defines ’employee’ as an individual without a managerial or supervisory position.

Source: HR Katha

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