Need to file a leave application? Learn all about your rights to paid leaves under the Labour Act 2074, from sick leave to maternity and more.

Whether you’re feeling under the weather, planning a family trip, or welcoming a newborn into your life, at some point, you’ll need to write a leave application at work.

But here’s the problem: most of us don’t actually know what kinds of leave we’re entitled to, or how much.

How many paid leave days do I get per year?

What if I fall sick for more than a week?

Can I get paid leave if I work on a public holiday?

And what happens if I don’t use all my leave by the end of the year?

If you’ve asked any of these questions before, you’re in the right place.

This guide breaks down Nepal’s Labour Act, 2074 (2017), specifically Chapter 9 (Sections 40–51), and explains everything you need to know about leave types, eligibility, conditions, and your rights as an employee in the most human and practical way possible.

Let’s get into it.

1. Weekly Leave: Your Minimum Right to Rest

Let’s start with something basic but essential: weekly leave.

The law says you must be given one day off per week, but technically, Section 40 of the Labour Act says “one day of weekly leave per month.”

Confusing? Yes, a bit. But here’s how it works:

In practice, most employers give you one day off per week (usually Saturday or Sunday), amounting to four or five weekly leaves per month. But the law’s minimum requirement is just one, which means, in extreme cases, an employer could offer only one weekly day off in a month and still be “technically” legal.

Our advice: Always check your company’s HR policy or appointment letter. Just because the law says one per month doesn’t mean you should settle for less if you're offered more.

2. Public Holidays: What You’re Entitled To

Section 41 guarantees every employee a set number of public holidays per year.

• All workers are entitled to 13 days of paid public holidays, including May Day (Labour Day).
• For female employees, it’s 14 days, with the extra day being International Women Labour Day.

But who decides which holidays count?

If you work in an industry regulated by an authority (like banking, insurance, or education), then that authority publishes the official list of holidays.

If not, then your employer decides, but they still have to meet the minimum requirement.

Pro tip: Don’t assume Dashain, Tihar, or Holi are “extra”, they’re likely part of those 13 or 14 days.

3. Substitute Leave: For Working on a Day Off

Let’s say you were called in to work on your day off.

Maybe you work in a hospital, airline, or media company, somewhere operations can’t stop. Or maybe there was a last-minute event or emergency.

Are you just supposed to let that public holiday or weekly leave go to waste?

Absolutely not.

Section 42 of the Labour Act says that if you work on a public holiday or weekly leave, your employer must give you a substitute leave.

The best part?

That leave has to be given within 21 days of the day you worked.

Don’t forget to write a leave application in advance requesting the substitute leave. It can be as simple as:

“I worked during the public holiday on [Date] and would like to request substitute leave on [Date].”

Simple. Direct. And fully within your rights.

4. Home Leave: Earned Leave That You Can Accumulate

Home leave (also called casual or earned leave) is the kind of leave you build up over time, and use for personal reasons like family visits, rest, or small errands.

Here’s how it works:

• For every 20 days you work, you earn 1 day of paid home leave.
• That’s about 18 days a year if you work all 12 months.

But there’s a twist.

If you work at a school, college, or any institution that gives summer/winter vacations, then you won’t get home leave separately.

However, if your total vacation time is less than what you would have earned as home leave, you’re still entitled to the difference.

Example:

• School vacation: 10 days
• Earned home leave: 18 days
• You still get: 8 days of home leave (18 - 10 = 8)

And yes, you can accumulate up to 90 days of home leave and even get paid in cash for unused leave when you resign or retire.

When claiming payment for your unused home leave after resignation or retirement, employers often require formal proof of your last drawn salary, such as a salary certificate or salary slip. If you need one, you can easily generate a salary certificate online for free using My Salary Slip.

5. Sick Leave: When Health Comes First

We all get sick. But your salary shouldn’t suffer just because you caught the flu or had a migraine.

That’s where sick leave comes in.

According to Section 44:

• You’re entitled to 12 days of paid sick leave per year.
• If you’ve worked for less than a year, you get it proportionally.

For example:

• Worked 6 months? You get 6 sick days.

Here’s what else you need to know:

• If you’re sick for more than 3 consecutive days, you must submit a medical certificate from a registered doctor.
• If you suddenly fall ill, you must inform your employer immediately through the fastest means available (call, text, or email.)

And yes, it’s always best to submit a formal application for sick leave, especially when it’s more than a day.

Sample Application for Sick Leave:

Subject: Application for Sick Leave

Dear [Manager's Name],

I am feeling unwell and would like to request sick leave from [Start Date] to [End Date]. I will submit a medical certificate if required.

Thank you for your understanding.

Sincerely,

[Your Name]

Pro tip: Always communicate in writing to avoid confusion and ensure transparency.

6. Maternity & Paternity Leave: Support for New Parents

Nothing changes your life more than becoming a parent. Thankfully, the Labour Act has provisions to support both moms and dads.

For Mothers:

Section 45 states:

• A pregnant employee is entitled to 14 weeks of maternity leave in total.
• At least 2 weeks must be taken before delivery, and 6 weeks after delivery are mandatory.
• Out of the 14 weeks, 60 days (about 8.5 weeks) are fully paid.
• The rest can be unpaid or adjusted with other leaves.

What if there’s a miscarriage or stillbirth after 7 months?

She is still entitled to full maternity leave, as if it were a normal delivery.

What if the doctor recommends more rest?

The employer must approve up to 1 extra month of unpaid leave.

For Fathers:

• Male employees are entitled to 15 days of paid paternity leave when their wife gives birth.
• If the mother passes away within 60 days, the father can use the remaining maternity leave to care for the child.

This is one of the most progressive leave policies in the region.

But don’t forget to submit your newborn's birth registration certificate.

7. Mourning Leave: A Time to Grieve

Grief doesn’t check your work calendar, and the law understands that.

Section 48 grants 13 days of paid mourning leave in these cases:

• Death of a spouse (husband/wife)
• For married women: death of their father, mother, father-in-law, or mother-in-law
• Mourning due to religious customs

No deductions. No questions. Just a simple application for leave to inform your HR or manager.

8. Accumulated Leave = Extra Cash

Think of your leave like a savings account.

• Home leave can be saved up to 90 days
• Sick leave can be saved up to 45 days

If you resign, retire, or (in case of death), you or your family can claim the cash equivalent of your unused leave.

Even better?

If your accumulated leave goes beyond the allowed limit, your employer must pay you the extra at the end of the year.

So basically, your time off = real money.

To claim your encashment, your employer may issue a salary certificate confirming your final basic pay. If you're unsure what a salary certificate looks like, check out this salary certificate format guide and generate one online within minutes.

What Counts as a "Year" for Leave Purposes?

Here’s a small but important detail you don’t want to miss: When it comes to things like calculating how much home leave, sick leave, or public leave you’ve earned, the question is, what exactly is considered a "year"?

You might assume it’s just Baisakh to Chaitra, like the regular calendar year.
But under Nepal’s Labour Act, it’s a little more flexible, depending on your workplace.

Here’s how it works:

Option 1: If there’s a specific law that applies to your type of job, that law decides.
For example, if you work in a school or a government office where there are special rules for academic years or service years, then whatever that law says is your "year" for leave calculation.

Option 2: If you are regulated by an official body, then their rules decide.
Let’s say you work at a bank (regulated by Nepal Rastra Bank) or a tax office (regulated by Inland Revenue Department). In that case, your "year" is decided according to the rules of that regulatory body.

Option 3: If it’s written in your employment contract, then your contract decides.
Some companies clearly mention in your job agreement what a "year" means for leave. For example, "January to December" or "joining date to next year's anniversary."

Option 4: If none of the above apply, then by default, it’s the Nepal Government’s fiscal year.
And what’s that?

• It runs from Shrawan 1st to Ashad end (roughly mid-July to mid-July).

In Simple Terms:

• If there’s a special law → Follow that.
• If there’s a regulatory body → Follow their rules.
• If your employment contract says something → Follow that.
• If none of the above → Default to Nepal’s fiscal year (Shrawan to Ashad).

Always check your appointment letter, HR manual, or ask your HR department to be sure which year applies in your case, because it affects how your leave balance is calculated!

Not All Leave is a Right

Only sick leave, maternity leave, and mourning leave are absolute rights.

Other types like public leave, home leave, or substitute leave, are considered benefits, not rights.

This means your employer can change or reject your application for leave if there’s a valid reason (e.g., company emergencies or lack of coverage).

However, they must provide a valid explanation.

Wrapping It Up

Understanding your leave rights is essential for managing both your personal and professional life effectively.
Nepal’s Labour Act, 2074 has made sure that employees are not left to negotiate or guess. Your entitlements are clearly laid out, and you have every right to access them when needed.

Whether you are planning personal travel, recovering from an illness, attending family responsibilities, or adjusting to major life changes like childbirth, a properly submitted leave application ensures that your absence is formally approved and documented without issues.

Here’s a quick recap of the types of leave you are entitled to:

The next time you require time away from work for health, family, or important obligations, make sure to submit a clear and timely application for leave.
This protects your rights, ensures transparency, and helps maintain smooth communication with your employer.

If your leave relates to illness and extends beyond three days, remember to support your application for sick leave with a medical certificate as required by the Labour Act.

Good planning, proper communication, and understanding your legal rights around leave will allow you to manage your time off professionally, without misunderstandings or conflicts later.

In short:

• Know your leave types.
• Keep track of your entitlements.
• Submit your leave application properly and in advance wherever possible.

Your time off is built into your employment conditions, and using it responsibly benefits both you and your organization.

Also, remember there’s a difference between a salary slip and a salary certificate and both are important when dealing with leave payments or service benefits. Learn more here: Salary Slip vs. Salary Certificate: Understanding the Difference

Additional Resources: 

• Salary Certificate – Generate Salary Certificate Online for Free 
• Salary Certificate Format Made Easy: Generate for Free Online 
• Salary Slip vs. Salary Certificate: Understanding the Difference