When an employee joins a company, they are typically given a set of leaves that they can use during the year. This set of leaves is called their “leaf type”.
Each leave type has different benefits and restrictions associated with it. For example, some leaves may be only for medical purposes, while others may be for vacation or personal time. Some leaves may also be restricted to certain employees, such as management or full-time employees.
Employees typically accrue leave over time, meaning that they earn more leave days the longer they work for the company. This leave can then be used later, either all at once or spread out throughout the year.
There are many different types of leaves that an employee may be entitled to, depending on the company’s policies and the individual’s contract.
These can include vacation leave, sick leave, maternity leave, personal leave, compensatory leave, study leave, loss of pay (LOP), and parental leave. Paid time off (PTO) is another term that is sometimes used to refer to all types of accumulated leave.
Each type of leave has its own specific rules and regulations governing its being taken and applied. For example, vacation leave is typically granted based on years of service with a company, while sick leave may be less restricted.
Accrued leaves may also be cashed using Leave Encashment if they have been unused for at least one year. The basic salary is usually used as an exchange unit to encash leaves.