Encashment of 300 days of Earned Leave for Defence and other Industrial employees other than Railways

The Industrial Employees other than Railways were not allowed to accumulation of EL upto 300days and it was limited to 120 days before the issuance of order on 07/11/2006. It was a long pending demand of Staff Side Members of National Council JCM to grant of accumulation and encashment of 300 days of earned leave and it was agreed and granted with effect from the date of issue of the order that is from 07th November 2006. The employees those who were retiring on and after 07/11/2006 were unable to encash the Earned Leave to the extent of 300 days since they were restricted to accumulate their EL upto 120 days only. Due to that they couldn’t avail the benefit of encashment of 300 days EL at that time.

This anomaly had been removed after a long struggle and necessary order was issued on 25th September 2008 regarding the issue of shortfall in Earned Leave . To make up the shortfall in Earned Leave it had been decided by the government that in supersession of all earlier orders on the subject, both Earned Leave and Half Pay Leave shall be considered for encashment of leave subject to overall limit of 300 days. The cash equivalent payable for Earned Leave shall continue unchanged. However, cash equivalent payable for Half Pay Leave shall be equal to leave salary as admissible for Half Pay Leave plus Dearness Allowance admissible on the leave salary without any reduction being made on account of pension and pension equivalent of other retirement benefits payable.

Both the orders are given below;

Grant of accumulation and encashment of 300 days of earned leave for Defence and other Industrial employees

No. 14028/2/2003-Estt.(L)
Government of India
Ministry of Personnel, P.G. & Pensions
Department of Personnel and Training

North Block, New Delhi.
Dt. the 7th November, 2006.
OFFICE MEMORANDUM

Subject:- Grant of accumulation and encashment of 300 days of earned leave for Defence and other Industrial employees (other than Railways).

The undersigned is directed to refer to this Department’s O.M. No. 12012/5/86-Estt.(L) dated 9th January 1992, according to which the total accumulation of earned leave in respect of industrial employees other than Railways, was limited to 120 days. Consequent to discussions with the Staff Side of the National Council(JCM), it has been decided, in consultation with the Ministry of Finance (Department of Expenditure), to allow accumulation and encashment of earned leave to the extent of 300 days for Defence and other industrial employees. 2. The other terms and conditions applicable to industrial employees (other than Railways) shall remain the same. 3. These orders shall take effect from the date of issue.

(KESHAV PRASAD)
Under Secretary to the Govt. of India

Recommendations of the Sixth Central Pay Commission relating to encashment of leave in respect of Central Government civilian employees

Half Pay Leave Calculation Formula for 300 Days EL encashment

No. 14028/3/2008-Estt.(L)
Government of India
Ministry of Personnel, Public Grievances & Pensions
[Department of Personnel & Training]

New Delhi, the 25th September, 2008.

Subject:- Recommendations of the Sixth Central Pay Commission relating to encashment of leave in respect of Central Government civilian employees.

Consequent upon the decisions taken by the Government on the recommendations of the Sixth Central Pay Commission relating to encashment of leave in respect of Central Government civilian employees, the President is pleased to decide that in supersession of all earlier orders on the subject, both Earned Leave and Half Pay Leave shall be considered for encashment of leave subject to overall limit of 300 days. The cash equivalent payable for Earned Leave shall continue unchanged. However, cash equivalent payable for Half Pay Leave shall be equal to leave salary as admissible for Half Pay Leave plus Dearness Allowance admissible on the leave salary without any reduction being made on account of pension and pension equivalent of other retirement benefits payable. To make up the shortfall in Earned Leave, no commutation of Half Pay Leave shall be permissible. The Cash equivalent for half pay leave component shall, henceforth, be calculated in the manner indicated below:-

Cash payment in lieu of half pay leave component = Half pay leave salary admissible on the date of retirement plus Dearness Allowance admissible on that date / 30 X Number of days of half pay leave at credit subject to the total of earned leave and HPL at credit not exceeding 300 days

2. These orders shall take effect from 1st September, 2008. 3. Formal amendments to the Central Civil Services (Leave) Rules, 1972 are being issued separately.

4. In so far as persons serving in the Indian Audit & Accounts Departments are concerned, these orders are issue in consultation with the Comptroller &Auditor General of India.

(Simmi R. Nakra)
Director(P&A)

Source: www.gservants.com