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Leave Encashment Is A Constitutional Property Right; It Cannot Be Denied Without Specific Statutory Authority: Karnataka High Court

19 Mar 2025 3 min read
Leave Encashment Is A Constitutional Property Right; It Cannot Be Denied Without Specific Statutory Authority: Karnataka High Court

The Karnataka High Court has ruled that a dismissed employee is entitled to leave encashment, considering it as a property right under Article 300A of the Constitution of India. A single-judge bench of Justice M. Nagaprasanna declared that Karnataka Gramina Bank's refusal to pay the leave encashment to a dismissed employee was illegal. The court emphasized that once earned, terminal benefits like leave encashment become the employee's property and cannot…

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