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  1. Ankit Singh
  2. Labour Laws
  3. Wednesday, October 11 2017, 11:24 PM
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I was Compulsory Retired from bank's service on 20-08-2010 and was kept under suspension from 24-02-2008. Now after winning case in high court against bank regarding payment of leave encashment the court directed bank to pay the PL encashment.
Bank paid it but my question is that bank had taken last salary as salary on 23-02-2008 i.e the salary before suspension for leave encashment calculation whereas they have paid me arrear of subsistence allowance according to revised salary as on august 2010 i.e at the time of final order of punishment. So my question is that if they have taken revised salary for subsistence allowance why they havent paid me leave encashment according to revised pay?
Which salary will be considered for leave encashment calculation, the salary before suspension or the new salary before final order of CRS?
Please help in this matter. If bank has done wrong calculation than please guide me.

Thanks in advance
Truly yours
Ankit
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Accepted Answer
PS Dhingra Accepted Answer
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Suspension allowance is not treated as salary. Salary is given for duty period. and the leave salary is drawn at the last pay drawn before being suspended. So, there is nothing wrong on the part of the bank. However, had you been reinstated with the suspension period treated as duty for all the purposes and benefits of duty, you leave salary could also have been revised for the purpose of leave encashment.
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