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Nirathanka

A worker had 40 days of leave at year-end, but 10 days lapsed in January. Is this legal under the Factories Act, 1948?

2/5/2026

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​The Factories Act, 1948, under Section 79, regulates annual leave with wages, including accrual, utilization, and carry-forward limits. In this case, a worker had 40 days of leave at year-end, but 10 days lapsed in January. The question is whether this is legally valid.

Legal Provisions & Analysis
  • As per Section 79(1), workers earn 1 day of leave for every 20 days worked (for adults).
  • Section 79(5) allows carry-forward of leave, but with a 30-day limit for adults. Any excess leave lapses unless an exception applies.
Here, the worker had 40 days of leave, but since only 30 days can be carried forward, 10 days lapsed legally.
Exceptions
  • If the employer denied a valid leave request, the worker can carry forward all refused leave without limit.

​Conclusion
The lapse of 10 days is legally valid under Section 79(5). However, if leave was denied by the employer, the worker may have a right to retain all 40 days. 


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