I would like to ask if there is a law pertaining to accumulation of service incentive leaves and the option to convert it to cash only upon retiring or separation from the company?
As a practice in my current work, our accumulated SL(sick leave) at the end of the year we are REQUIRED to convert the half of it convert it to cash equivalent.
On the other hand, our accumulated incentive leave or we call VL(vacation leave) we have the option to convert or not to its cash equivalent but we are only allowed of 36 maximum of VL to retain.
My point is, can I contest it to the company that I have the option to not use my VL but instead accumulate those until I retire from the company? say 6 years from now (12VL/year x 6 = 72 VL) plus other credit leaves entitled to me.
Is there a specific regulation that accumulation of incentive leave retention to be limited only to maximum 3 years or 36 months?
Looking forward for the in-depth answers. I might present this discussion on one of the meetings we have.
Thank you very much.