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An unpaid day, arising from absence without an approved application or from leave taken against an exhausted balance. It reduces paid days for the month, and therefore the salary, the PF wage and in some cases the ESI contribution.
Not a penalty or a fine. It is simply the withholding of pay for a day not worked and not covered by leave.
Loss of pay is settled in the last week before payroll lock, when HR reconciles the attendance register against approved leave. Every day that is neither worked nor covered by a leave balance becomes an LOP day, and the payroll person needs the final count before running salaries.
Example: an employee on a ₹31,000 monthly gross in a 31-day month has two unapproved absences. Using calendar days as the divisor, the deduction is ₹2,000. If the company uses a fixed 30-day or 26-day divisor instead, the figure changes, so the divisor must be written into policy and applied the same way every month.
The common mistake is deducting LOP for a day that was later approved as leave or regularised after cut-off, which then needs an arrears reversal next month. In HRMagix, attendance feeds payroll directly, so LOP days come from the same record the manager approved.
Loss of pay: an unpaid day.
For absence without an approved application, or leave taken against an exhausted balance.
It reduces paid days for the month, and therefore the salary.
Yes. Fewer paid days reduce the PF wage.
In some cases it reduces the ESI contribution.
No. It is simply the withholding of pay for a day not worked and not covered by leave.
If the day was actually worked, the attendance record can be corrected through regularisation.
Yes. Leave taken against an exhausted balance is one of the two ways an LOP day arises.
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