How to compensate employee for their absence due to COVID 19


We have 2 employees who are infected with COVID and were absent for a period of 3 weeks. How do I compensate for that?
Should it be taken from their annual leaves or should it be leave without pay if there aren’t sufficient annual leaves?


Hi @mariya_kapasi

Its my suggestion from what I’ve been hearing & Some state rules.

Every state has mentioned some mandatory leaves to be given for employees falling in COVID. Example: Karnataka last year said 05 days of paid leave etc.,

In general companies add 05 days of leave to employees balance for the purpose of COVID sick, if an employee is infected, any leaves that an employee takes beyond this can be reduced from other balances or will be a LOP.

Again @Ankit or @Arpana or @shefalipatil Can pitch in with the ground realities.


Hi All,

In my suggestion, if any employee gets Covid-19 then he/she should be given 14 days leave and same not to be adjusted from Annual Leave Balance or LOP.

Excess of 14 days can be considered to adjusted from Annual Leave Balance.

This are tuff times, employee is already suffering from physical as well as mental trauma so we should support him in this situation.


It may be taken from their annual leaves. No work No pay is the principle.


Ha ha, agree with @Habeeb :wink:


We should at least pay 7 days i.e. 50% of quarrantine period


Hi All,

Received this circular, should be helpful.

Cir 18-2021.pdf (356 KB)


This is only for IA&AD - Indian Audit & Accounts Department under CAG and not universally applicable.

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