NOTICE PERIOD LEAVE: RIGHT, RISK OR REJECTION?
Yes, leave may be taken during notice period — but only when sanctioned or legally protected.
LEGAL POSITION IN INDIA
An employee may apply for and take leave during the notice period. But leave is not automatic merely because leave balance exists. The outcome depends on the contract, standing orders, service rules, policy, nature of leave, sanction, and any special statute.
| 3 KEY QUESTIONS | |
| 1 | Can the employee apply for leave? — Generally yes. |
| 2 | Must the employer sanction it? — Not automatically. |
| 3 | Will sanctioned leave count as notice? — Usually yes if no rule forbids concurrent running; no if an express rule says otherwise. |
LEAVE RULES DURING NOTICE
- Apply in writing and seek approval.
- Silence is not automatic approval.
- Employer should decide leave requests under applicable rules.
- Approved leave is different from unauthorised absence.
Notice pay recovery or extension of last working date needs legal basis in contract/rules.
WHAT IS THE CORE RULE?
[1] Leave can be taken during notice — if approved.
[2] Leave balance is not the same as leave sanction.
[3] Unauthorised absence can still trigger action.
[4] Medical emergencies must be examined fairly.
[5] Special service rules may override the general rule.
| LABOUR CODE ANGLE Model Standing Orders, 2026 do not create a blanket bar on leave during notice.They emphasise application, permission, and communication of refusal or postponement.Leave during notice and leave encashment on exit are different issues.For many managerial employees, the contract and policy remain crucial. |
LANDMARK CASES
- Ghanshyam v. DMRC (Delhi HC, 2007): If the notice clause does not prohibit leave, sanctioned leave during notice normally does not break the running of notice.
- CAMPCO Ltd. v. B. Vishnu Murthy (SC, 2022): If service rules say leave and notice cannot run concurrently as a matter of right, the employee cannot insist on overlap.
- State of Punjab v. P.L. Singla (SC, 2008): Unauthorised absence or overstaying leave can be treated as indiscipline.
- Krushnakant B. Parmar v. Union of India (SC, 2012): Authorities must examine whether absence was wilful, especially in illness or genuine difficulty cases.
- Shriram Manohar Bande v. Uktranti Mandal (SC, 2024): Special statutes may expressly prohibit overlap of vacation/leave and resignation notice.
- Rajesh Kumar Balak Ram Chandrakar v. INFLIBNET (Gujarat HC, 2022): For public or statutory service, competent authority and service rules govern whether leave counts toward notice.
SCENARIO SNAPSHOT
No prohibition + leave sanctioned → notice usually continues.
Leave request pending → employee should await decision.
Express no-concurrency clause → no automatic right to overlap.
Absent without approval → misconduct/loss of pay may follow.
Medical emergency → evidence and prompt communication matter.
Unused leave on exit → encashment is a separate question.
BOTTOM LINE
An employee can take leave during the notice period, but only sanctioned or legally protected leave should be treated as authorised. The real answer lies in the appointment letter, standing orders, service rules, leave policy, and written approval or rejection.
Radhika Goyal is Author of Taxconcept Gurugram head office, for deeply reported tax, gst and income tax articles on issues that matter. He splits her time between New Delhi and Bengaluru, and has worked as a reporter, a podcaster and an editor for publications across India.