The government of the Punjab Finance Department issued a Notification on 09-09-2024 in connection with the Monthly Payment of Leave Encashment in Lieu of Refused LPR. The details are as follows:

Monthly Payment of Leave Encashment in Lieu of Refused LPR

 

As per the Notification, there will be a Section Officer (Budget-I), Government of the Punjab, School Education Department; kindly refer to his letter bearing No.SO(Budget-I)1-26/2023, dated 21st June 2024, on the subject noted above?

The case has been examined. The administrative department’s attention is drawn to Rule 17(2) through I(c), which is amended via the Notification of the Finance Department bearing No. FD.SR.II/2-97/2019 dated 01.06.2023. Hence, leave the encashment in lieu of refusing I.PR shall be paid @ initial pay of the pay scale on a monthly basis in addition to monthly income.

 

 

 

 

What is Leave Encashment?

 

Leave Encashment is the amount that the employee gets on his retirement in place of leaves. These leaves are redirected every month into the employee’s leave balance. These leaves are earned instead of Casual Leaves. The employee, at the time of retirement, may opt for leave encashment or LPR. The leave encashment is based on the basic pay of the employees. The employee may get a maximum of up to 365 days.

 

What is LPR?

 

LPR, or leave preparatory to retirement, is the leave that employees get just before their retirement instead of Leave encashment. During LPR, the employee remains absent or away from the office and gets full pay and allowances except for the Conveyance Allowance. The LPR period depends on the leaves in the credit of the employees. If the employee has 200 leaves in his leave account, then he will get 200 leaves with pay and allowances. However, the maximum LPR limit is 365 days. If the employee has more than 365 days of leave in his credit, he will get only 365 days of leave before retirement.