My ex-company told me that leave encashment of paid leaves is up to the company (and hence they didn't pay me) however I don't feel that's true. Could someone tell me about the leave policy encashment rule on resignation for Bangalore/Karnataka location? Additional points for navigating such situations will be highly appreciated.

Side-thought. if you already have another job-offer/role you are eager to start at... a. Is this worth burning-bridges with the folks you worked with? b. is this worth your time?

Correct by the company and it will be taxed in your hands as a perquisite. https://tax2win.in/guide/leave-encashment-tax

@chilly-rocket-77832 It is a huge amount, 1L+. And hence my question. I was supposed to sponsor myself my laptop using this paid leave's money however my FNF itself is very large so I am not complaining but still wondered -- what is the correct answer to question? a. Indeed that's my concern -- which is why I am weighing pros and cons. b. Yup, if you know someone who went against and filed a complaint anyways -- you can write their stories. It will help me understand the complications in relationships with previous employers much better. Thanks for your response. "navigating" as in not going against because it is not "worth" the effort is also an acceptable answer to me given the delicacy of the matter :P

My current company encash the leaves, one time in FnF on gross salary, unto maximum 45 days. Having said so, It's on discretion of company, some companies I have worked with paid on basic pay and some didn't.