• Benefits of an employee in a private limited company registered in Maharashtra

Hi,
I am an employee of a private limited company registered in Maharashtra. Our work policies are close to negligent. We are offered no sick leaves, nor any earned leaves even after working around 317 days a year, 6 days a week. No public holidays are granted as leave. Any leave that is taken is deducted from our salary. I want to assess my options and rights as an employee. I want to know if the Bombay Shop and Establishment Act applies in my case, which makes it mandatory for 1 earned leave in 20 working days.
Asked 4 years ago in Business Law

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13 Answers

1. You seek legal recourse /remedy by filing proper petition before the Mumbai Labor Commissioners office (Bandra), for back-dated dues on earlier pending leaves and seek directions for PL, SL & CL and other benefits like PF, ESIC, Gratuity etc....

2. Being a Private Limited Co. does not grant them any exemptions from giving the above mentioned to its employees. A joint application can also be moved to the labor commissioner.  An anonymous named application also can be filed for investigation and prosecution on the co. for labor malpractices.

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

Bombay shops and establishment act is applicable to private limited companies having more than 10 employees 

 

2) Mah. shops & est. act of 2017, where it mentioned that "Every worker who has worked for a period of two hundred and forty days or more in an establishment during a calendar year shall be allowed during the subsequent calendar year, leave with wages for a number of days calculated at the rate of one day for every twenty days of work performed by him during the previous calendar year" .

 

Ajay Sethi
Advocate, Mumbai
94723 Answers
7535 Consultations

5.0 on 5.0

It is not the constitution of the establishment as to whether it is a public limited company, private limited company, cooperative society, partnership or proprietory form that decides the working hours, leaves and other service conditions of the employees but it is the labour laws applicable to the kind of business being transacted that decides these matters. As such, factories where manufacturing process is being carried out will have to follow rules prescribed under the Factories Act, Mines have to follow Mines Act, Plantations have to follow service rules prescribed under the Plantations Labour Act and those which are in service sector will have to follow the leave and working hours as prescribed in the Shops and Commercial Establishments Act. Different Acts have set out different rules pertaining to hours of work and the spread over of work with slight changes as applicable to the respective state. Shops and Establishments Act being a state Act is confined only to that state whereas the other Acts are central Acts and will be similar in many respect subject to state rules attached thereto. If your company has been registered under shops and establishment act then you are entitled to the privileges mentioned in that towards the welfare of the employees.

Providing such leaves is mandatory as per labour laws, though the quantum of 2 such leaves vary state by state. As per the Factories Act and Karnataka Shops & Establishments law, a minimum of one day for every 20 days worked is to be provided as earned leave.

Every employee is entitled to 21 consecutive days annual leave on full pay in every leave cycle. This equates to 15 working days per annum if the employee works a five-day week, and 18 working days per annum if the employee works a six-day week.

Leave is a provision to stay away from work for genuine reasons with prior approval of the authorities. It may be granted for a casual purpose or a planned activity, on medical grounds or in extra-ordinary conditions. ... Vacation and leave are governed by a set of rules and norms as laid down by the Government of India.

 

If the company is showing the same type of hostile activity, then you may approach the labor court for releif and remedy by filing an application mentioning the atrocities of the company who are not following the law of the land by not providing leave to the employees.

 

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

Dear Cleint,

Law provides annual/earned leave of 12 working days for all the workers who have worked at least 240 days in a year and paid days-off during Festival (public and religious) holidays. These include memorial holidays and religious holidays.

One day of earned leave for every 20 days of service. Apart from this, casual, sick leave etc. Complain to Ministry of Labour & Employment.

 

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

GENERALLY, the following is applicable to all Manufacturing Co.

a) Industrial Disputes Act

b) ESIC

c) PF

d) Gratuity Act

e) Workmen Compensation Act

There are other laws applicable, BUT that depends on the type of activities that the Co. conducts.

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

registration under shops and establishment act is mandatory in Maharashtra if company is employing more than 10 employees 

Ajay Sethi
Advocate, Mumbai
94723 Answers
7535 Consultations

5.0 on 5.0

Industrial dispute act and factories act.

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

You do not have to worry about under which laws the company has been registered with the government.

You are entitled to leaves as mentioned in the labor law, hence you can very well appraoch the labor court seeking releif after exhausting the remedies within the organisation in this regard.

You first apply for leave that is due to you, let the company reject your request for leave in writing or even orally, then you can make a representation in writing to the top management about this and seek his intervention and relief.

If the top management is also maintaining the same hostile situation you may then approach labor court with an application seeking relief and remedy, by attaching the documentary evidences to support your pleadings for the efforts taken by you with your employer in the past in this regard.

 

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

In India, law does not prohibit employees working on national holidays. All it does is to regulate employment if an employee is called to work on national holidays. In other words, if an employee were to be called for work on a national holiday, then, it would be necessary to intimate the jurisdictional inspecting authority in advance and in addition, provide the employee called upon to work on a national holidays an alternate holiday or alternatively, pay the employee twice the normal rate of wages / salary. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

Leave is the right of all employees 

Generally, an employee is given the following leaves during the course of his or her employment:


  1. Casual Leave: This is provided to an employee to take care of urgent or unseen matters like a family emergency; for example, employees can apply for casual leave to attend a parent-teacher meeting called for by their child’s school.

  2. Sick Leave: Sick leave is provided when an employee gets sick.

  3. Privilege or Earned Leave: Privilege or earned leaves are long leaves that are planned for in advance.

  4. Other Leaves – Apart from the above mentioned leaves, there are some other paid, unpaid or half-paid leaves which are provided at the discretion of the company. Study leave and bereavement leave are two such examples.

Medical Certificate for one-day sick leave

Usually, when a sick leave exceeds beyond two or three days, depending upon the company policy, employees are requested to submit a medical certificate to sanction the leave. However, in the case of one-day sick leave, an employer should not ask for a medical certificate.

In one of its judgements, the Supreme Court mentioned that an employee will not necessarily seek medical attention if he or she is ill for just a day.

Encashment Leave

An employee can take encashment leave while quitting service, superannuation, discharge, dismissal or death. Leave encashment should be as per average daily wages of an employee.

Leave during notice period

An employee can take leave during notice period, provided it is for a genuine reason like maternity, health issues, etc.

The Delhi High Court, in one of its judgement, said that an employee can take leave during the notice period if nothing is mentioned in the appointment letter which bars the employee from taking leave during the notice period, if he has leave to his credit and is entitled to the same.

As per Labour law 

An employee has the right to paid public holidays and leaves such as casual leave, sick leave, privilege leave and other leaves. For every 240 days of work, an employee is entitled to 12 days of annual leave. An adult worker may avail one earned leave every 20 days whereas its 15 days for a young worker. During notice period an employee can take leaves for emergencies, provided the employment agreement does not bar it.

  • You can file a case against company for claiming all the deductions done from your salary till date due to leaves taken and Public holidays. 

Mohit Kapoor
Advocate, Rohtak
10687 Answers
7 Consultations

5.0 on 5.0

Firms that employ more than 10 workers must obtain a license under the Maharashtra Shops and Establishments Act . 

The Act specifies that workers are eligible to eight casual leaves (CLs), and can accumulate 45 days of paid leave during a year. The establishment will declare eight days as paid festival holidays, including four national holidays. The other four festival holidays may be mutually agreed between the establishment and its workers. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

Yes the said labour law is applicable to you. You can approach the competent authority of labour court for reliefs

Prashant Nayak
Advocate, Mumbai
31951 Answers
179 Consultations

4.1 on 5.0

This is my response to you:

1. These are the laws applicable to you: Payments of Bonus Act, Equal Remuneration Act,  Payment of Gratuity Act, Employees Provident Fund and Miscellaneous Provisions Act, Employees’ State Insurance Act, Maternity Benefit Act

2. You will be covered under these important laws to protect your interests;

3. Consult a local lawyer, discuss full facts and then take steps.

Gowaal Padavi
Advocate, Mumbai
1920 Answers
5 Consultations

5.0 on 5.0

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