Employee Leave Policy Generator

# EMPLOYEE LEAVE POLICY **Organization:** NexGen Digital Solutions Pvt Ltd **Registered Office:** Level 6, Cyber Towers, HITEC City, Hyderabad - 500081 **Industry:** Information Technology & Software Services **Effective Cycle:** Calendar Year (Jan - Dec) **Standard Work Week:** 5 Days (Mon-Fri) **Version:** 2.0 (Statutory Compliant) **Last Updated:** October 2026 --- ### 1. PURPOSE The purpose of this Employee Leave Policy is to provide a structured, transparent, and fair framework for all employees of **NexGen Digital Solutions Pvt Ltd** to balance professional commitments with personal, medical, civic, and family responsibilities while ensuring business continuity and high operational standards. --- ### 2. SCOPE This policy applies to all full-time, part-time, and probation employees working across all operating locations, branches, and remote work arrangements of **NexGen Digital Solutions Pvt Ltd**, unless otherwise specified in an individual employment contract. --- ### 3. LEAVE YEAR & ACCRUAL CYCLE - **Leave Cycle:** The official leave year commences on **January 1st and concludes on December 31st**. - **Accrual Method:** Leaves shall accrue on a pro-rata monthly basis at the end of each completed calendar month of active service. - **Mid-Year Joiners:** Employees joining mid-year will receive pro-rated leave entitlements calculated from their date of joining. --- ### 4. ELIGIBILITY All regular full-time employees are eligible for paid leave benefits upon joining **NexGen Digital Solutions Pvt Ltd**. During the initial probation period (3 months), access to certain leave categories (such as Earned/Privilege Leave) is governed by specific probation guidelines outlined in Section 9. --- ### 5. LEAVE TYPES & ENTITLEMENTS NexGen Digital Solutions Pvt Ltd provides a comprehensive package of statutory and company-sponsored leave categories: | Leave Type | Annual Quota | Carry Forward | Encashable | Approval Required | Probation Access | | :--- | :--- | :--- | :--- | :--- | :--- | | Casual Leave (CL) | 12 Days | No | No | Manager | Eligible | | Sick Leave (SL) | 10 Days | Yes (Max 10 Days) | No | Manager | Eligible | | Earned / Privilege Leave (EL) | 18 Days | Yes (Max 30 Days) | Yes | Both | Post-Probation | | Maternity Leave (ML) | 26 Days | No | No | HR | Eligible | | Paternity Leave (PL) | 5 Days | No | No | Manager | Eligible | | Bereavement Leave (BL) | 5 Days | No | No | Manager | Eligible | | Compensatory Off (CO) | 0 Days | No | No | Manager | Eligible | | Leave Without Pay (LWP) (LWP) | 0 Days | No | No | Both | Eligible | *Total standard annual paid leave allocation: **50 Days**.* --- ### 6. LEAVE APPLICATION PROCESS 1. **Advance Notice:** For planned leave (such as Earned/Privilege Leave), employees must submit a formal leave request via the HRMS portal at least **7 business days** in advance. 2. **Short-Term Leave:** Casual leave requests must be submitted at least **24 hours** in advance or by 10:00 AM on the day of emergency. 3. **Application Mode:** All leave requests must be logged through the official HRMS application. Verbal, text message, or informal requests will not be recognized. --- ### 7. APPROVAL WORKFLOW & AUTHORITY - **Manager Approval:** The immediate Reporting Manager is the primary approving authority for all day-to-day leave applications. - **HR Approval:** Leaves exceeding 5 consecutive days, Maternity/Paternity leave, and LWP require mandatory secondary approval from the People/HR Operations team. - **Automatic Escalation:** Leave requests pending for more than 48 hours are automatically escalated to the Department Head. --- ### 8. WEEKEND & SANDWICH RULES **Sandwich Rule Exempt:** Weekly offs and declared public holidays falling between periods of casual or privilege leave shall NOT be counted as leave days. --- ### 9. LEAVE DURING PROBATION PERIOD - The standard probation period is **3 Months**. - During probation, employees may utilize Casual Leave (CL) and Sick Leave (SL) on an accrued pro-rata basis (1 day per completed month). - Earned Leave (EL) cannot be availed during probation; however, EL days will continue to accrue and become unlocked upon successful confirmation. --- ### 10. LEAVE CARRY FORWARD RULES - Unutilized Sick Leave and Earned Leave may be carried forward into the subsequent leave cycle up to the statutory maximum limits defined in the entitlement schedule. - Any unutilized leave in excess of the defined carry-forward limit at the conclusion of the leave cycle shall automatically lapse unless explicitly granted an exception by Executive HR. --- ### 11. LEAVE ENCASHMENT POLICY - **Eligibility:** Earned / Privilege Leave (EL) is eligible for encashment upon separation, retirement, or during the annual encashment window. - **Computation Formula:** `Encashment Amount = (Last Drawn Monthly Basic Salary ÷ 30) × Eligible Earned Leave Balance Days`. - Casual Leave and Sick Leave are non-encashable and carry no commercial monetary exchange value. --- ### 12. PUBLIC & OPTIONAL HOLIDAYS - **Mandatory Holidays:** The company observes 10 to 12 official paid public holidays per calendar year, including mandatory national holidays (Republic Day, Independence Day, and Gandhi Jayanti). - **Optional / Floating Holidays:** Employees may select up to 2 optional religious or cultural holidays from the company's published annual festival calendar. --- ### 13. SICK & MEDICAL LEAVE REGULATIONS - Sick leave is designed specifically for recuperation from personal illness, medical surgery, or contagious diseases. - For medical absences extending beyond **2 consecutive working days**, the employee must furnish a formal medical certificate and fitness report from a registered medical practitioner (MBBS/MD) upon return to duty. --- ### 14. EMERGENCY & BEREAVEMENT LEAVE - Up to 5 consecutive paid working days are granted in the event of the loss of an immediate family member (spouse, child, parent, sibling, or parent-in-law). - Additional travel days for outstation bereavement can be adjusted against accrued Casual Leave or Leave Without Pay upon manager approval. --- ### 15. UNAUTHORIZED ABSENCE & ABANDONMENT OF SERVICE - Absence from work for more than **3 consecutive business days** without prior notice, approval, or communication shall be treated as Unauthorized Absence. - Prolonged unauthorized absence exceeding **8 consecutive calendar days** shall be classified as Voluntary Abandonment of Employment, invoking formal disciplinary and statutory separation proceedings. --- ### 16. NOTICE PERIOD LEAVE RESTRICTIONS **No Leave During Notice Period:** To ensure comprehensive knowledge transfer and smooth handover of responsibilities, employees serving their contractual notice period are NOT permitted to take paid leaves. Any absence during notice period shall extend the last working day accordingly. --- ### 17. POLICY EXCEPTIONS, MODIFICATIONS & GOVERNANCE - Any deviation or exception from this policy requires written joint authorization from the Head of Human Resources and the Managing Director / Chief Executive Officer. - **NexGen Digital Solutions Pvt Ltd** reserves the right to amend, update, or revise this policy in accordance with prevailing statutory amendments, Shops & Establishments Acts, and organizational requirements. --- *Disclaimer: This Leave Policy document is a standardized operational and corporate governance template. It must be reviewed by qualified legal and labor compliance advisors against relevant State Shops and Commercial Establishments Acts and statutory standing orders.*