IREC Rule No.542: Leave On Termination Of Employment
542. Leave On Termination Of Employment:-
(I) (1) Leave shall not be granted on termination of employment to a railway servant who has been dismissed or removed from service or whose services have been terminated under the Railway Services (Safeguarding of National Security) Rules, 1954;
(2) Apprentices will continue to be governed by the rules applicable to them and leave on termination of appointment will not be admissible to them. Likewise, persons whose services are lent by commercial concerns or semi-Government organizations on terms which include payment of leave salary contribution, cannot be granted such leave.
(II) Leave (Terminal) To Temporary Railway Servants:-
(1) In the case of temporary railway servants, leave on average pay due and admissible at a time may be grated at the discretion of the sanctioning authority on the termination of service on account of retrenchment or on abolition of posts before attaining the age of superannuation. In cases where any notice of termination of services is required to be given under the terms of employment of the temporary railway servant and the railway servant is relieved before the expiry of the notice, such notice or the un-expired portion thereof should run concurrently with the leave granted.
Note: A question has been raised whether a temporary Railway servant granted terminal leave continues to be in Railway Service during the period of such leave. It has been decided that a temporary Railway servant continues in service during that part of terminal leave only which runs concurrently with the notice period and ceases to be in Railway service on the expiry of the notice period, the leave to the extent it goes beyond the notice period being treated as a terminal benefit only.
Railway Ministry’s Decision: It is not necessary to extend the temporary post to cover the period of the leave granted to a railway servant at the end of his temporary employment.
(2) Leave on termination of appointment may also be granted to the temporary railway servants in the following cases–
(i) Re-employed pensioners who are treated as new entrants in the matter of leave, subject to the condition that such pensioners will not be entitled to draw their pension during the terminal leave if the pension was held in abeyance during the period of re-employment;
[Authority: No.F(E) 59/LE1(1), 13.06.1959]
(ii) Persons employed for a period exceeding one year on contract basis;
(iii) Unqualified persons who may have to vacate their temporary posts to make room for qualified candidates;
(iv) Persons whose services may have to be dispensed with as matter of administrative convenience as an alternative to the initiation of disciplinary proceedings against them; and
(v) Railway servants who resign their posts for reasons of ill-health or for other reasons beyond their control.
Note: In cases of resignation other than those mentioned in sub-rule (v) above, the sanctioning authority may, at his discretion, allow half the amount of leave on average pay at the credit of the railway servant on the date of termination of his service, subject to the condition that it does not exceed half of the maximum amount of leave on average pay which the railway servant can avail himself of at a time.