Types of Leave in India: Casual, Sick, Earned, Maternity and 10 More Explained
Employees require leave from work for health, personal needs, family functions, national holidays and as planned time off. There is no universal leave rule that applies to all employees in India. The number of days an employee is entitled to may be based on state law, organization, category of employment, company policies, statutory regulations.
HR managers and business owners need to differentiate between legally mandated leave and benefits while employees may ask what type of leave is offered, how many days one can get, if it's paid and what to do with it once it's unused. Knowing different types of leave helps everyone communicate effectively.
Statutory leave vs company-policy leave
Statutory leave is leave which an employer is obliged to give when a statutory (central or state law) applies to the employee and establishment. Company-policy leave is a boon added by the employer. Company-company in statutory leave. The level of leave - number of days, eligibility criteria, notice periods, carryforward and encashment - may be different.
Statutory Leave can be associated with provisions in State Shops and Establishment Acts, Maternity Benefit Act, etc. State laws can regulate working hours and leave benefits for establishments that fall within that state's purview. HR teams should not adopt a leave chart from one state to another without confirming that it complies with the applicable rules.
Company-policy leave may comprise of casual, sick, privilege, marriage, confinement, menstrual, paternity, adoption and sabbatical leave. There are some statutory provisions for specific employees/sectors while some others are organization-specific benefits.
Categorize each leave as statutory, policy or conditional. Conditional leave only applies when specified in the law, for a specific type of employee, in a specific type of establishment, or for a particular case.
Casual, sick and earned leave: days and eligibility
Casual leave is commonly used for short personal reasons, sick leave policy covers for employee absence due to illness, and earned leave is earned via employment for use in structured leaves. There isn't one specific amount of days nationwide for all three, so check the specific state law and company policy.
Casual leave is usually utilized for urgent private issues, meetings, family requirements, or brief away. Several companies have a fixed number of casual leaves per annum and do not permit the carryover of casual leave. This is a matter of internal policy unless the law provides otherwise.
Sick leave covers illness or injury, treatment or recovery. A medical certificate is sometimes required after a certain period as per policy or rules. Follow procedures for reporting. Earned leave (also known as privilege leave): This leave type is usually gained by an employee for the period spent in service for a planned leave. How the Earned leave is accumulated, carried forward, encashed and accumulated can differ. Employees should check the policy and State Shops and Establishments Act.
Maternity, paternity and adoption leave
Maternity leave is statutorily protected in India. Paternity leave (for fathers) in the private sector is not a statutory right. Adoption and commissioning mother benefits are also protected by specific statute. Employers should separate what is protected from optional family-friendly policies.
The Maternity Benefit Act, 1961, as amended, establishes certain maternity benefits for women, including a maximum of 26 weeks for a woman with less than two surviving children subject to the conditions under the Act. For women with two or more surviving children, adopting or commissioning mothers covered under the Act, the Statutory period is 12 weeks.
It also provides rights in respect of miscarriage, pregnancy sickness, nursing breaks and some other conditions of maternity. However a company is free to adopt more generous maternity benefits than required by the law.
India doesn't have a universal private-sector paternity leave entitlement like there is for maternity leave. In some cases, you may have an employer-led paternity policy, or you may have separate rules if you're a government employee.
Public holidays, restricted holidays and comp-off
Public holidays are holidays specified by relevant national/state rules or relevant rules of the establishment or by company policy. Restricted holidays are optional holidays and may be granted by the company at the discretion of the management as a privilege to certain employees on recommendation by the department head. Comp-off or compensatory off is time off provided under rules or company policy for additional hours of work performed on a holiday or weekly holiday.
Holiday Calendar may vary State wise and Institute wise. Companies must communicate Holiday List each year and list out all the Mandatory Holidays and Optional Holidays.
Limited holidays make it possible for workers to select from a predetermined list of days. Such an option is beneficial in a workplace with a mixed bunch of employees who celebrate various religious and cultural traditions.
Comp-off policy is not to be mistaken with the leave you earn. Deciding when someone is eligible, who approves the compensation work, the rate at which extra work is converted into compensation time, the expiration of the excess time, etc. should be outlined by a business. Laws may govern the workers' paid hours worked on a holiday or overtime.
Special leave: marriage, bereavement, menstrual, sabbatical
Special leave is provided for those incidents that will not be covered by casual, sick or earned leave. Examples of marriage, bereavement, menstrual, and sabbatical leave may be found in company policies, but they are not mandatory statutory benefits for all private-sector employees in India.
A marriage leave may be paid days of an employee's own marriage, whereas, bereavement leave might be paid days for the death of an immediate family member. Policies can stipulate notice, documentation, relationships, and days.
Offering a menstrual leave policy is becoming common in the workplaces. However, there is not a single law at the national level, private-sector entitlement providing menstruation leaves days 'equally on the basis of fixed leave, fixed leave, or fixed.
Sabbatical leave is a scheduled leave of absence for purposes such as education, development, caregiving, travel, or other approved purpose. Usually, it is unpaid. Policies should include information on who is eligible, how long it lasts, treatment of pay and benefits, job protection, and return to work.
Leave under the new labour codes
India’s four labour codes came into force from 21 November 2025, according to the Ministry of Labour and Employment. The Code on Social Security, 2020 consolidates social-security legislation and contains maternity benefit provisions, while administration still depends on applicable rules, notifications, and state requirements.
For HR teams, “new labour codes” does not mean every traditional leave category has one national entitlement. The Codes consolidate central laws, while state rules continue to matter.
The Code on Social Security also has rules relating to maternity benefit in terms of restrictions of work post delivery and entitlement to receive the benefit. Employers should see the Code, notifications and rules relating to it and do not use old leave templates and check if it is relevant.
A compliance review should map each leave type to its legal source, employee coverage, approval, pay treatment, carry-forward, and recordkeeping requirements.
Comparison table: paid vs unpaid, carry forward, encashment
A comparison table shows typical treatment, not a universal legal rule. Statutory and state-specific requirements take priority where they apply.
| Leave type | Usually paid? | Carry forward | Encashment |
| Casual | Usually paid | Often no | Usually no |
| Sick | Usually paid | Depends on policy or law | Depends on policy or law |
| Earned or privilege | Usually paid | Often yes | Often yes, subject to rules |
| Maternity | Statutory paid benefit where eligible | Not ordinary carry-forward | Not ordinary leave encashment |
| Paternity | Policy-dependent | Policy-dependent | Policy-dependent |
| Adoption | Statutory or policy-dependent | Depends on applicable rule | Depends on applicable rule |
| Public holiday | Paid where applicable | Not applicable | Not applicable |
| Restricted holiday | Usually paid | Usually no | Usually no |
| Comp-off | Paid time off | Usually limited | Usually no |
| Marriage |
Policy-dependent | Usually no | Usually no |
| Bereavement |
Policy-dependent | Usually no | Usually no |
| Menstrual |
Policy-dependent | Usually no | Usually no |
| Sabbatical |
Often unpaid | Not applicable | No |
Worked example: Suppose an employee earns 18 days of earned leave per year and has used 10 days. The closing balance is 8 days. If the company allows a maximum carry-forward of 30 days, all 8 unused days can move into the next year. If the policy caps carry-forward at 5 days, only 5 move forward, subject to applicable law.
Paid, carry forward, and encashment are separate questions. A leave can be paid but non-carry-forward, or accumulated but subject to an encashment limit.
How to configure all leave types in software
Policy approved by the leave management software and the policies should be configured into the leave management software. HR should establish leaves policy – who's eligible, how much leave, approval limits, documentation, holidays, carry forward, encashment and payroll treatment.
Create a leave master for the following: casual leave, sick leave, earned leave, maternity leave, paternity leave, adoption leave, restricted holiday, comp off, marriage leave, funeral leave, menstrual leave, and sabbatical leave Specify the leave balance as annual, monthly, event, or manual.
Next, for each new benefit, establish eligibility rules. Eligibility may be determined on or after employment, upon acceptance, after a qualifying period of service, or if a prescribed statutory condition is satisfied. Avoid having one rule for all employees if you will need to discriminate between some groups of employees.
Set up accrual and balance logic with caution. If earned leave is accumulated monthly, designate credit, rounding, max balance, carry-forward max, and end-of-year disposition. For comp-off, document work date and expiration period. For maternity or other event-based leave, process through eligibility and documentation workflows, not through the default annual accrual.
The workflow should not be adjusted to meet operational needs. Some single casual leave must be approved by the manager, but seven days or more of maternity leave must go through HR, along with the necessary forms. Employees should be able to view their balances, leave requests and authorizations and instructions for requesting it.
Finally, link leave statistics with attendance and payroll if relevant. Run mid-year joining, resignation, holiday in leave days, leave balance shortfalls, carry-forward limits, and concurrent leave types. 'What' you offer must also be 'what' you say you offer and what is permissible by law.
HR teams can delineate this rule in a leave policy template that includes information on leave eligibility, duration, approval process, carry forward, encashment and documents needed.
Conclusion
The content to be offered to an employee when it comes to acquire in India could differ according to statutory specifications, State regulations, employee type, and company plan. HR teams building or updating their leave policies need to look at the Code on social protection 2020, the state shops and establishments acts that use, as well as the maternity Reward act 1961 as edited, among others. Staff members must browse the organization insurance plan before taking a gamble that they're entitled to leave.
Whether it is automating leave requests, balances, approvals or policy-based calculations, check out leave management software from attendance.ai to help organizations manage leave in a more structured way.
FAQ's
1. How many different types of leave are there in India?
Typical types of leaves are casual, sick, earned/ privilege, maternity, public holidays, restricted holiday, comp-off, paternity, adoption, marriage, death, menstrual, sabbatical leave, etc. Not all types of leaves apply to the same employee.
2. Is casual leave mandatory in India?
No universal number of casual leave days is available for all employees in all states. The number of casual leave days taken also depends on the state law, company policy and sector.
3. How much time is there to take off for maternity leave?
In principle, a woman covered by the Maternity Benefit Act is entitled to receive 26 weeks up to a maximum of 2 surviving children, subject to statutory eligibility conditions. Additional provisions apply in special cases.
4. Is it allowed to carry forward unutilised earned leave?
Whenever, but the limit is set by law applicable to employee and company policy. Refer to relevant State Shops and Establishments Act and company policy.
5. Do private companies have to provide paternity leave?
No universal private sector statutory paternity leave entitlement similar to the maternity benefit. An employer can offer paternity leave by way of employment policy of his own volition.