Section 25B of IDA : Section 25B: Definition Of Continuous Service

Explanation using Example

Example Application of Section 25B of The Industrial Disputes Act, 1947:

Imagine an employee named Ravi who works in a manufacturing plant. He has been working with the company for the past 10 months. During this time, Ravi took a 2-week leave due to a family emergency and was also absent for a few days due to illness. Additionally, the company faced a legal strike for 15 days, during which Ravi could not work.

When Ravi was laid off, he wanted to know if he was eligible for any severance benefits under the Industrial Disputes Act. To determine his eligibility, Ravi's continuous service needed to be calculated.

According to Section 25B:

• Ravi's service is considered uninterrupted despite the leave for sickness and the legal strike.
• Even though Ravi has not completed a full year, he may still be considered to be in continuous service for one year if he has worked for at least 240 days in the previous 12 months.
• The days Ravi was on leave with full wages and the days of the legal strike would be counted towards the number of days he has worked.

If Ravi's total number of days worked, including the leave and strike days, meets or exceeds 240 days, he would be deemed to be in continuous service for the purpose of claiming severance benefits under the Act.