Leave stopped lapsing. Has your policy caught up?
Section 32 of the OSH Code capped carry-forward at 30 days and made encashment of the excess mandatory every December. NavoraHR applies the new rules per employee, per state, and shows you what the balance is going to cost before the year ends.
No credit card. Set up in under a day.
The Occupational Safety, Health and Working Conditions Code came into force on 21 November 2025, replacing the Factories Act and thirteen other statutes. For leave, four things changed, and each one breaks a rule most companies still run.
A worker now qualifies for annual leave after 180 days in a calendar year, down from 240. Accrual runs at one day for every twenty days worked.
NavoraHR applies the current threshold per employee and backfills accrual for anyone the old rule was under-crediting.
Section 32(vii) allows up to 30 days of annual leave to move into the next calendar year. Policies built around 45 or 60 day accumulation no longer align for covered workers.
NavoraHR enforces the cap per policy and per employee category, without HR touching a spreadsheet.
Any balance above 30 days at year end is payable in cash. Leave that used to quietly expire is now a December liability, calculated on the higher wage base under the Code on Wages.
NavoraHR forecasts that liability from month one and shows it by department, location and entity before it lands.
If an employee applies and the request is denied, that leave escapes the 30-day limit entirely. It has to be tracked separately from ordinary carry-forward.
NavoraHR flags every refused request and holds it in its own uncapped bucket, so a denied application never quietly disappears into a lapse rule.
Section 32 provisions apply to employees classified as workers under the Codes. State Shops and Establishments Acts continue to run in parallel, and NavoraHR reconciles both per employee.
Mandatory encashment turned surplus leave into a cash outflow with a date attached. Most companies will find out what it costs when it is already due. NavoraHR tracks the accruing liability continuously, so finance can provision for it instead of absorbing it.
Illustrative: surplus days above the cap multiplied by the per-day wage on the Code on Wages definition. Your policy’s divisor and which leave types are encashable decide the exact figure.
Leave encashment on separation is due within two working days of the last working day, in line with the same code that governs full and final settlement. NavoraHR calculates it the moment an exit is recorded and passes it straight to payroll.
Accruals, carry-forward, comp-off expiry and encashable surplus all maintain themselves. Nobody has to ask, and nobody has to check.
Tap the days you want. Red dots show teammates already away, your balance updates as you go, and one tap submits.
Who is off, who is on a half-day, and exactly where coverage gets thin, before you approve anything.
Every application runs its policy checks the instant it is raised. Clean ones clear on their own. Edge cases route to a human with the context already attached.
Leave types, entitlements, accrual rates, carry-forward caps, expiry and encashment rules defined once.
Policies mapped to employee category, department, location, grade, entity or probation status.
Opening balances migrated, then accrual runs on schedule against each employee’s assigned policy.
Requests raised from the self-service portal or mobile app, with dates, type, remarks and supporting documents.
Balance, overlap, notice period and eligibility validated instantly.
Within-policy requests auto-approve. Everything else routes through the configured approval chain.
Approved leave writes to the attendance record automatically.
Loss of pay, unpaid leave and encashment flow into the payroll run without re-entry.
Balances, utilisation, absenteeism and accruing liability available to HR and finance on demand.
Check balances, plan around the team, apply in seconds, get an answer in seconds.
See coverage and balances before deciding, or let clean requests clear themselves.
Accrual, caps, eligibility and encashment applied per grade and per location, automatically.
Leave surplus valued continuously, so the December encashment bill is a forecast rather than a surprise.
See your balance as you pick dates, submit, and get a decision straight away.
Accrual, carry-forward and comp-off update in real time, with the encashable portion shown separately.
A shared calendar shows who is already off before you commit to dates.
Within-policy leave clears automatically. Only genuine edge cases reach a human.
Casual, sick, earned, comp-off, short leave, restricted holidays and special leave, all in one place.
If a request is denied, that leave is logged and carried forward without a cap. It cannot quietly expire.
Balances, approvals, accrual and encashment happen without an HR touch.
Accrual, eligibility, caps and carry-forward applied by grade, category and work location.
Managers see understaffed days and decide with the full picture.
Loss of pay and encashment feed straight into the payroll run.
Who applied, who approved, who refused, and when. Retained for every request.
Separate policies, holiday calendars and statutory rules per state and per legal entity, under one login.
Leave in India is central law plus state law plus your own policy, and the three do not always agree. Here is what NavoraHR applies.
Applies the 180-day eligibility threshold and one-day-per-twenty-days accrual, enforces the 30-day carry-forward cap, calculates mandatory encashment of the excess, and tracks refused leave as uncapped carry-forward.
Entitlement, accumulation and encashment rules applied per employee by work location, and reconciled against the central position where the two differ.
26 weeks of paid maternity leave for the first two children, with payroll continuing uninterrupted throughout, plus the reduced entitlement for subsequent children and the adoption and commissioning-mother provisions.
Configured to company policy, applied per grade or category, and tracked alongside statutory leave in the same balance record.
Encashment valued on the current statutory wage definition, so the payout rate stays correct as basic pay is restructured.
Leave encashment on discharge, dismissal or resignation calculated for settlement within two working days. Superannuation and death handled on their own timeline.
Statutory holidays configured per state, with restricted and optional holiday lists published per location.
Compensatory off generated where an employee works a weekly rest day, with expiry applied on your policy.
Encashment data passed to payroll with the exemption position applied, up to the ₹25 lakh lifetime limit for private-sector employees.
A single-entity organisation with three or four leave types and one approval level can be live within a day. Complexity moves that, and it is more useful to say what moves it than to promise a number.
Every module writes to the same employee record. Nothing is exported, reconciled or re-imported.
Approved leave writes to the attendance record automatically.
PayrollLoss of pay and encashment flow into the run with no re-entry.
HRMSOne employee record, one policy assignment, no duplicate setup.
Employee Self ServiceApply, check, cancel and track from the portal.
E-SeparationFinal leave balance and encashment calculated into the exit settlement.
Mobile AppApply and approve from anywhere.
No credit card. Response within 24 hours.