Chapter VII LEAVE WITH PAY AND PAYMENT OF WAGES

56[(1) (a) Subject to the provisions of clause (b), every employee who has been employed for not less than three months in any year, shall for every 60 days on which he has worked during the year be allowed leave, consecutive or otherwise, for a period of not less than five days;

1. (b) every employee who has worked for not less than two hundred and forty days, during a year shall be allowed leave, consecutive or otherwise, for a period of not less than twenty-one days : Provided that such leave may be accumulated up to a maximum period of 57[sixty-three days]. Explanation., The leave allowed to an employee under clauses (a) and (b) shall be inclusive of the day or days during the period of such leave on which a shop or commercial establishment remains closed under section 18, or on which he is entitled to a holiday under sub-section (1) of section 24 or section 31.] 58[(1A) Every employee who has accumulated leave shall, when he goes on leave for a period of not less than twenty-one days, be entitled to surrender, out of the balance of leave remaining to his credit on the commencement of his leave, any period of leave, not exceeding twenty-one days ; and such employee shall, for the period of leave so surrendered by him, be lentitled to payment of wages as if the leave so surrendered had been alowed to him under sub-section (1) : Provided that no employee shall be entitled to surrender leave under this sub-section more than once in any period of two years. (1B) In addition to the leave permissible under sub--section (1), every employee shall be entitled to leave with wages as follows :, (i) casual leave for seven days in a year,
   • (ii) leave on medical grounds for not more than seven days in a year, and
   • (iii) leave for not more than four days in a year on any of the days which the State Government may, by notification in the Official Gazette, specify to be the National and Festival holidays.]

1. (2) If an employee entitled to leave under sub-section (1) 59[retires, resigns or] 60[* *] is discharged by his employer before he has been allowed the leave, or if, having applied for and having been refused the leave, he quits his employment before he has been allowed the leave, the employer shall pay him the amount payanble under section 36 in respect of the leave.
2. (3) If an employee entitled to leave under sub--section (1) 60[* *] is refused the leave, he may give intimation to the Inspector or any other officer authorised in this behalf by the 61[State] Government regarding such refusal.

Pay during leave Every employee shall be paid for the period of his leave at a rate equivalent to the daily average of his wages for the days on which he actually worked during the preceding three months, exclusive of any earnings in respect of overtime.

An employee who has been allowed leave under section 35 shall, before his leave begins, be paid half the total amount due to him for the period of such leave.

1. (1) Notwithstanding anything contained in the Payment of Wages Act, 1936, herein referred to as "the said Act", the 58[State] Government may, by notification spublished in the Official Gazette, direct that subject to the provisions of sub-section (2) of the said Act 62[shall, in such local ares, as may be specified in the notification, apply] to all or any class of establishments or to all or any class of employees to which or whom this Act for the time being applies.
2. (2) On the application of the provisions of the said Act to any establishment or to any employees under sub-section (1), the Inspector appointed under this Act shall be deemed to be the Inspector for the purpose of the enforcement of the provisions of the said Act within the local limits of his jurisdiction.

The provisions of the Workmen's Compensation Act, 1923 and the rules made from time to time thereunder, shall mutatis mutandis, apply to every employee (other than an employee who is in receipt of monthly wages exceeding 64[one thousand rupees] of an establishment to which this Act applies 65[* * *]. Explanation., For the purposes of this section the expression 'wages' shall have the same meaning as is assigned to it under the Workmen's Compensation Act, 1923.]