Public Holidays in India & Leave Entitlement Policy | Aniday

Leave entitlement policy and public holidays in India provides paid time off for public holidays, festival holidays, and annual leave. The number of public holidays in India varies by state while festival holidays depend on region and religion.

The policy mandates benefits like annual leave, sick leave, and maternity leave. Employees get time off with pay on national holidays and regional festivals. For annual leave, employees are entitled to a minimum of 12 days per year. New mothers receive up to 26 weeks of paid maternity leave if they worked at least 80 days in the past year.

The Act aims to help workers balance work and personal life. Employers providing generous benefits can boost morale and retention. India's leave policies set a solid baseline to improve work-life harmony. Employers must comply with minimum leave entitlements but are free to provide even better benefits. A robust leave entitlement policy and public holidays in India balance the needs of employees and the organization.

Leave entitlement policy in India

In India, the leave entitlement policy is an important aspect of employment law that sets out the types of leave that employees are entitled to and the procedures for granting and applying for them. This policy covers various types of leave, such as annual leave, sick leave, maternity leave, paternity leave, and public holidays in India. Its purpose is to ensure that employees receive their entitled leave, and employers comply with all regulations related to leave entitlements.

Comprehending leave entitlements and public holidays in India is vital for protecting workers' rights and planning rest effectively.

Types of leave in India

In addition to the main types of leave mentioned earlier, there are some other types of leave available to employees in India:

Public holiday

Public holidays in India are typically paid leave for employees in India.

The number of  public holidays in India today may vary depending on the state and region, but employees are generally entitled to paid time off for the following national holidays:

• Republic Day - 26th January
• Independence Day - 15th August
• Gandhi Jayanti - 2nd October

Employees may also be entitled to paid time off for the following regional or religious holidays, depending on the state and region:

• Holi - a Hindu festival celebrated in March
• Diwali - a Hindu festival of lights celebrated in October or November
• Eid al-Fitr - a Muslim festival celebrated at the end of Ramadan
• Christmas - a Christian festival celebrated on 25th December

Other public holidays in India that may be observed in certain states or regions include:

• Bihu - a festival celebrated in Assam
• Pongal - a festival celebrated in Tamil Nadu
• Onam - a festival celebrated in Kerala

Privileged leave

Under the country's employment law, employees are entitled to a certain number of paid days off each year, which can be accumulated over time. This accumulated leave is commonly referred to as privileged leave or earned leave.

The number of days of privileged leave entitlements may vary depending on the employee's level of seniority, years of service, and the company's policies. In general, employees are entitled to a minimum of 15 days of privileged leave per year, which can accumulate up to a maximum of 300 days.

Annual leave

Annual leave in India is legally mandated at a minimum of 18 days per year. This can be accrued monthly at a rate of 1.5 days per month or granted upfront at the beginning of the year if needed.

Earned leave

Earned leave accrues as employee tenure with a company progresses. Typically, companies grant one day of leave for every 23 working days. This leave can be availed without salary deductions upon management approval, except during emergencies. Employees may also opt to convert this leave into cash if preferred.

Casual leave

Employees may be entitled to a certain number of days of paid casual leave each year. This type of leave is typically used for short-term absences, such as personal appointments or family emergencies.

Half-day leave

Half-day leave allows employees to take a few hours off work, either in the morning or afternoon, to attend to personal matters such as medical appointments or family obligations. This flexibility promotes a healthy work-life balance by enabling employees to manage both personal and professional responsibilities effectively.

Loss-of-pay leave

Leave without pay refers to a situation where an employee exhausts their allocated leave days and needs further time off, resulting in a deduction from their salary. This leave option can potentially be utilized for future absences as per the organization's leave policy.

Compensatory-off leave

Compensatory leave, known as comp-offs, is granted to employees working on non-working days like weekends, public holidays, or extra hours to handle additional workloads. Employers must accurately track work hours according to the company's leave procedures. These compensations acknowledge and reward employees for their exceptional dedication and contributions to the organization.

Companies customize their leave and public holidays in India policies effectively to meet each employee's individual needs.

Sick leave

For employees in India earning less than 21,000 INR monthly, sickness benefits under the Employees' State Insurance Act may apply. Sick and casual leave entitlements typically span from five to 12 days per year, with no carryover to subsequent years. Extended sick leave may necessitate medical proof, usually in the form of a medical certificate. State governments can set specific annual leave policies, offering between one day off for every 20 days worked to a total of 15 annual leave days, often divisible into no more than three segments within a calendar year.

Compassionate leave

Compassionate leave entitlement in India typically includes a statutory minimum of 5 days per calendar year for situations involving parents, grandparents, siblings, spouses, and children.

Female employees with children below the age of 18 may be entitled to paid childcare leave for up to two years. It allows them to take paid time off to take care of their child's needs. Female employees can take up to 730 days of Child Care Leave during their entire service period.

Maternity leave

In addition to the maternity leave policy in India, female employees are also entitled to other benefits under the Maternity Benefit Act, such as medical allowances and nursing breaks.

This act is a piece of legislation that provides female employees with benefits during and after pregnancy. Under the act, female employees are entitled to a minimum of 26 weeks of paid maternity leave. This leave can be taken up to eight weeks before the expected due date and up to 18 weeks after the delivery.

In addition to maternity leave, female employees are also entitled to other benefits under the Maternity Benefit Act, such as medical allowances and nursing breaks. Employers must comply with all regulations related to maternity leave entitlements and provide their employees with the entitled benefits.

The Maternity Benefit Act applies to all establishments that employ 10 or more people. Employers need to understand their obligations under the Act and provide their employees with the necessary benefits.

Paternity leave

While not mandated by Indian labor laws, paternity leave is becoming more common. Central government employees may receive 15 days of paid leave following a child's birth. Many large private sector companies are incorporating paternity leave into their employment packages as a strategic move to attract and retain top talent in a competitive job market.

Marriage leave

In India, there is no legal requirement for marriage leave. Typically, companies offer employees between one and 15 days off for marriage, with three days being a common allotment. This leave is generally granted once during an employee's tenure, often reserved for first marriages.

Bereavement leave

Bereavement leave is granted to employees in the event of a family member's passing, allowing them time to grieve, attend last rites, and manage legal matters without financial loss. While not legally mandated, most companies offer this leave out of compassion. This concept, although relatively new in India, fills a crucial need, recognizing the importance of providing employees with the space and support they require during times of loss.

Menstruation leave

Menstrual leave, a progressive policy implemented by some companies, grants women time off during their menstrual cycle to address heightened hygiene needs. Although not widespread in India, leading companies like Swiggy, Zomato, and Byjus have adopted menstrual leave as part of their employee benefits package.

Special days off for women in India to safeguard their health.

In conclusion, understanding public holidays in India and the intricacies of leave entitlement policies is essential for fostering a balanced work environment that prioritizes employee well-being and rights. By valuing and implementing these policies effectively, the company aims to create a workplace that nurtures productivity, satisfaction, and a harmonious work-life balance for all our employees.

Aniday hopes this post has provided you with a comprehensive understanding of the diverse leave regulations in India and practical strategies to maintain compliance. Feel free to contact us via hello@aniday.com for further assistance.