Types of Leaves in India–Know All about the Leaves at Work

Leaves or time off from work are essential for employees of any organisation. In India, the employee leave policy is often decided based on government rules and regulations. In India, there are several types of leaves granted by the government to employees to manage work-life balance.

In this blog post, we will list the different types of leaves available for employees in India, their eligibility criteria, and their benefits.

What is the employee leave policy?

An employee leave policy is a formal, written document that outlines the rules, entitlements, and procedures regarding time off from work. It is a core component of your organization’s human resources framework that balances business continuity with employee well-being.

In India, this policy serves a dual purpose. Culturally, it communicates your company’s commitment to work-life balance, which directly impacts talent retention and employer branding. Legally, it ensures your organization remains fully compliant with state and central labor laws, such as the Shops and Establishments Act or the Factories Act.

A standard policy explicitly details the various types of leaves in India that an employee is entitled to, such as Earned Leaves, Sick Leaves, Casual Leaves, and Maternity Leaves. It provides absolute clarity on critical operational aspects like accrual rates, approval workflows, carry-forward limits, and encashment rules, ensuring that both managers and employees are on the exact same page when a day off is needed.

Types of leaves in India

There are 12 different types of leaves in India that employees can avail. We’ve provided details about each below, explaining the nuances and applicability of each in 2026.

Now, let us get into the details of the different types of leaves in India that employees can use.

Read more: Leave Management System

1. Casual Leave

Casual leave is granted to employees for unexpected or urgent situations such as personal emergencies or sudden illnesses. The number of casual leaves varies from organization to organization, but typically, employees can avail of up to 7-10 days of casual leave in a year.

2. Privileged Leave/ Earned Leave

Privileged leave or earned leave is granted to employees who have completed a certain number of years in the organization. This type of leave is usually planned and taken in advance, unlike casual leave. The number of privileged leaves varies from organization to organization, and it typically ranges from 15-30 days per year.

3. Sick Leave

Sick leave is granted to employees who are unwell or have an illness that prevents them from coming to work. In India, employees are entitled to a certain number of sick leave days every year, which varies from organization to organization.

Companies like Razorpay have renamed sick leaves to ‘wellness leaves’ to encourage employees to take leaves for mental health. CEO & Co-Founder, Harshil Mathur said,

4. Maternity Leave

Maternity leave is granted to female employees who are expecting a child. In India, female employees are entitled to 26 weeks of maternity leave, which can be availed of before or after childbirth. During this period, the employee is entitled to full pay.

5. Marriage Leave

Marriage leave is granted to employees who are getting married. The number of marriage leave days varies from organization to organization, but typically, employees are entitled to 3-5 days of marriage leave.

6. Paternity Leave

Paternity leave is granted to male employees who have become fathers. In India, male employees are entitled to 15 days of paternity leave. These can be availed of within 6 months of the birth of the child.

7. Bereavement Leave

Bereavement leave is granted to employees who have suffered a personal loss such as the death of a close family member. The number of bereavement leave days varies from organization to organization, but typically, employees are entitled to 3-5 days of bereavement leave.

8. Comp Off

Comp off or compensatory off is a type of leave granted to employees who have worked on a holiday or a weekend. In such cases, the employee is granted a compensatory off day, which can be availed of at a later date.

9. Loss of Pay

Loss of pay is when the employee is not paid for the duration of the leave. This type of leave is typically granted for personal reasons such as extended travel or study breaks.

10. Sabbatical Leave

A sabbatical leave is a period of extended break taken by employees from their job for personal or professional reasons. This leave can be used for various reasons, including pursuing further education, travelling, or simply taking a break from work.

11. Study Leave

Study leave is granted to employees to pursue their higher education or professional development. This leave is typically granted for a specific duration, during which the employee can enrol in a course or program of study related to their job or career. The employee is usually expected to return to work after the completion of the study leave and utilize the knowledge and skills gained during the leave to benefit the organization. 

The duration and eligibility criteria for study leave vary from organization to organization and are usually outlined in the company’s HR policy. Study leave may be granted with or without pay, and employees may be required to sign a bond to serve the organization for a specified period after the completion of the study leave.

12. Religious Festival Leaves

Religious festival leaves are granted to employees to observe and celebrate religious festivals that are significant to them. In India, there are several festivals that are celebrated by people from different religions, such as Diwali, Christmas, Eid, and so on.

You can take help from our FREE HR Survival Toolkit that has the 2023 calendar to plan for leaves and HR events in your companies. It also has other resources such as HR letter templates, checklists and deadlines. 

13. Compassion Leave

Compassion Leaves are a fairly new type of leaves in India. These are the leaves employees can avail when they have to take care of someone who is sick or injured. In the past, employees would have to exhaust their personal or casual leaves to take care of their loved ones. But Compassion Leaves are a fair way to accommodate for unexpected illnesses or accidents that can happen.

14. Others

There are many other types of leaves that various companies can offer today to attract top talent. These can include separation leaves, pet adoption leaves, gender reassignment leaves, travel leaves, child adoption leaves (treated differently from paternity/maternity leaves), and so on. 

Although these types of leaves in India haven’t quite caught on yet, they’re gaining popularity to address the new of a younger workforce.

Employers should also ensure that their employees are informed about the different types of leaves they are entitled to and that the leaves are granted in a fair and transparent manner. 

Read more: Leave Encashment Calculation

2026 Update: New Leave Policy in India 

The implementation of the four new Labour Codes by the Government of India has also added new caveats when it comes to employee leave policies in India. So, let us review what has changed so your leave policy stays up to date.

• Faster Annual Leave Eligibility – The waiting period for statutory time off has been drastically reduced. Employees now qualify for annual leave after working just 180 days in a calendar year, down from the previous 240 days. This means your new hires will unlock their statutory benefits much faster.
• Equal Benefits for Contractual Staff – Your internal policy can no longer differentiate between permanent and contractual employees. Fixed-Term Employees are now legally entitled to the exact same leave parameters and medical benefits as your permanent workers.
• The Four-Day Workweek Option – The new codes strictly cap total working hours at 48 hours per week. However, they allow daily shifts of up to 12 hours. This legal flexibility enables companies to offer a four-day workweek, which fundamentally changes how weekly mandatory days off and Compensatory Offs are calculated.
• Strict Wage Protection – The government has made the payment of wages during statutory leaves a strict mandate across all sectors. This ensures equal financial protection for all employees during their approved time off.

How to Draft an Employee Leave Policy?

Drafting an effective employee leave policy requires balancing legal compliance, company culture, and operational feasibility. Here is a step-by-step guide to help human resource professionals and founders build a robust framework.

1. Understand State Legal Requirements – Before setting internal rules, you must align with the law. Leave rules in India are governed heavily by the specific state’s Shops and Establishments Act where your office is located. Research the statutory minimums for Earned, Sick, and Casual leaves in your state, alongside central mandates like the Maternity Benefit Act.
2. Define the Leave Categories – Outline all the types of leaves in India your company offers. Distinguish clearly between mandatory statutory leaves and progressive perks like Sabbaticals or Bereavement Leave. Set clear eligibility criteria. For instance, specify whether employees on probation can take earned/privileged leave or if they are reserved solely for permanent staff.
3. Establish Accrual and Carry-Forward Rules – Clarify how employees earn their time off. State the accrual rate clearly, such as crediting 1.25 Privilege Leaves at the end of every working month. Next, define carry-forward limits and specify exactly how many unused leaves roll over to the next calendar year and outline the financial encashment rules for resignations.
4. Set the Approval Workflow – To prevent operational disruptions, define the required notice periods for taking time off. Planned Earned Leaves might need a two-week advance notice, while unexpected Sick Leaves only require a morning intimation. Clarify who holds final approval authority and how managers should handle simultaneous requests.

5. Automate the Process – A policy is only effective if it is easy to execute. Instead of relying on static documents, integrate these rules into platforms like RazorpayX Payroll. Encoding your guidelines directly into the software ensures leave balances update automatically, letting employees view real-time accruals without ever emailing HR.

Manage employees and their leaves better with RazorpayX Payroll

RazorpayX Payroll is India’s only fully automated payroll software that offers a myriad of features for HR professionals, admins and employees. It also has a leave management system integrated with so that it factors in the leaves granted when employee salaries are calculated and disbursed.

Other features of RazorpayX Payroll include:

• HR Management software
• Accurate salary calculation & disbursement
• Automatic compliance calculation & filings such as PF, PT, TDS & ESIC
• Annual proof verification of investments done by employees
• Employee reimbursements
• Form 16 and payslip generation