(1) An employee shall be entitled after twelve months continuous service to privilege leave with wages for a period of sixteen days in the subsequent period to twelve months.
Provided that such privilege leave with wages may be accumulated up to maximum period of thirty days.
(2) An employee shall also be entitled during every twelve months of continuous service to medical leave with wages for a period not exceeding twelve days on the round of any sickness incurred or accident sustained by him and to casual leave with wages for a period not exceeding twelve days on any reasonable ground.
(3) If an employee entitled to any leave under sub-section (1) is discharged by his employer before he has been allowed the leave, or if having applied for and been refused the leave, he quits his employment before be has been allowed the leave, the employer shall pay him the wages payable under this Act in respect of the leave.
(4) If an employee entitled to any leave under sub-section (2) is discharged by his employer when he is sick or suffering from the result of an accident the employer shall pay him the wages payable under this Act in respect of the period of the leave to which he is entitled at the time of his discharged in addition to the amount. If any payable to him under sub-section (3).
Explanation- An employee shall be deemed to have completed a period of twelve months continuous service within the meaning of this section, notwithstanding any interruption on services under these twelve months brought about-
(a) By sickness, accident, or authorise leave including authorised holidays, not exceeding ninety days in the aggregate for all three; or
(b) By lock-out; or
(c) By strike is not an illegal or
(d) By intermittent periods of voluntary unemployment not exceeding thirty days in the aggregate. Authorised leave shall be deemed not to include any weekly holiday allowed under this Act which occurs at the beginning or end of an interruption brought by the leave.
Provided that such privilege leave with wages may be accumulated up to maximum period of thirty days.
(2) An employee shall also be entitled during every twelve months of continuous service to medical leave with wages for a period not exceeding twelve days on the round of any sickness incurred or accident sustained by him and to casual leave with wages for a period not exceeding twelve days on any reasonable ground.
(3) If an employee entitled to any leave under sub-section (1) is discharged by his employer before he has been allowed the leave, or if having applied for and been refused the leave, he quits his employment before be has been allowed the leave, the employer shall pay him the wages payable under this Act in respect of the leave.
(4) If an employee entitled to any leave under sub-section (2) is discharged by his employer when he is sick or suffering from the result of an accident the employer shall pay him the wages payable under this Act in respect of the period of the leave to which he is entitled at the time of his discharged in addition to the amount. If any payable to him under sub-section (3).
Explanation- An employee shall be deemed to have completed a period of twelve months continuous service within the meaning of this section, notwithstanding any interruption on services under these twelve months brought about-
(a) By sickness, accident, or authorise leave including authorised holidays, not exceeding ninety days in the aggregate for all three; or
(b) By lock-out; or
(c) By strike is not an illegal or
(d) By intermittent periods of voluntary unemployment not exceeding thirty days in the aggregate. Authorised leave shall be deemed not to include any weekly holiday allowed under this Act which occurs at the beginning or end of an interruption brought by the leave.
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Section 1 · Short title extent and commencementSection 2 · DefinitionsSection 3 · RegistrationSection 4 · Opening and Closing hoursSection 5 · Hour of workSection 6 · Closing of shopsSection 7 · Prohibition of Employment of ChildrenSection 8 · Prohibition of Employment of women and persons below seventeen years during nightIndia Code, Government of India. Text fetched 14 Oct 2026. Check the linked official text and subsequent notifications when applying a provision.