This Office Memorandum from the Ministry of Personnel, Public Grievances and Pensions clarifies and amends the rules regarding leave encashment for officers appointed on contract by the Government of India. Initially, leave encashment was limited to 180, 240, and then 300 days. However, recognizing that this limit could discourage highly skilled professionals from taking on contract positions, the government has decided to allow encashment of up to 10 days of earned leave for each completed year of service in a contract appointment. Previous encashment in other government appointments will not be counted towards this limit. These amendments are effective from the date of issue of the memorandum.
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No. 14028/1/2019-Estt. (L)
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel and Training
Date: 20^{th } June, 2019
Office Memorandum
Subject: Leave encashment to officers appointed on contract in various posts under Government – regarding
The undersigned is directed to say that the leave terms of the officers appointed on contract in various posts under the Government are governed by DoPT’s OM No.12016/3/84-Estt.(L) dated 12.04.1985 which was subsequently amended vide OMs No. 12016/1/90-Estt. (L) dated 05.07.1990, No.12016/2/99-Estt(L) dated 12.07.1999 and No. 12016/5/2009-Estt.(L) dated 31.01.2011.
- Para 2 of the OM dated 12.04.1985 prescribed the limit of encashment of earned leave upto a maximum period of 180 days during the contract period of such officers which was amended vide OMs dated 05.07.1990 and 12.07.1999 thereby increasing the maximum permissible encashment limit of earned leave upto 240 days and 300 days respectively. Para 3 of the above OM dated 12.04.1985 prescribed that the total earned leave for which encashment may be allowed together with the earned leave or full pay leave for which encashment had been allowed in previous appointments, if any, under the Government is not more than 180 days which was subsequently increased to 240 days and 300 days vide OMs dated 05.07.1990 and 12.07.1999 respectively.
- It has been observed that many times the Government appoints officers on contract for a specified period in public interest keeping in view their professional or scientific/technical expertise and this restriction of 300 days may act as a disincentive especially for those who have highly specialized professional or scientific/technical skills to join the government in various posts on contract basis for a specified period.
- Now, it has been decided in consultation with Department of Expenditure that the officers who are appointed on contract in various posts under the Central Government will be allowed encashment of earned leave at their credit on the date of termination of contract, subject to the condition that for each completed year of service put in by him in the post in such contract appointment, not more than 10 days benefit of earned leave encashment shall be permissible. While calculating the encashment of leave in such a contract appointment, the number of days of leave for which encashment had been allowed in previous appointment, if any, under the Government shall not be taken into account. The relevant provisions relating to earned leave encashment as contained in para 2 and 3 of DoPT’s OM No.12016/3/84-Estt.(L) dated 12.04.1985 as amended vide OMs dated 05.07.1990, 12.07.1999 and 31.01.2011 stand further amended accordingly.
- The above amendments will be effective with effect from the date of issue of this OM.
(5) (Sandeep Saxena)
Under Secretary to the Government of India
To
All Ministries \ Departments of the Government of India, etc.
Endorsement as per Standard List.