HRMS Leave Policy

What is Leave Policy?


Every organization needs a leave policy that is tailored to its needs and culture. There are also statutory rules from the government that need to be taken into consideration. Good leave policy is simple, easy to administer, fair to all parties and compliant with the statutory requirements. 


Employees need to be made aware of the Leave Policy. HR has to ensure that the same should be accessible to them when they want to check for availing of any Each organization needs a leave policy that is customized to its needs and culture. There are likewise statutory rules from the legislature that should be thought about. Great leave policy is basic, simple to regulate, reasonable for all gatherings and agreeable with the statutory prerequisites. Employees should be made mindful of the Leave Policy. HR needs to guarantee that the equivalent ought to be open to them when they need to check for profiting of any left. 


A leave policy has the accompanying parts:


  1. Different leave types which an employee can avail
  2. Various rules for each of the leave types
  3. Weekend policy
  4. Holidays list


A few organizations may have various arrangements of approaches for various classes of employees. For instance, learners, probationers or contract laborers may have arrangements not the same as perpetual staff. Or there will be consequences, this could vary on worker levels or evaluations. In such circumstances, numerous leave plans must be formulated with various approaches. 


Work laws set the system for choosing different elements of leaves, for example, leave types, qualification or length. Over this, company-explicit rules dependent on the nature and sort of work are incorporated. Most organizations have unequivocal rules that control how the representative's leaves are earned and how they are used. The entire arrangement of rules can be named as a leave policy. 


Leave Types


Organizations have the accompanying sorts of leave separated from general occasions: 


  • Earned leave (EL, also called as privilege leave PL)
  • Sick leave (SL)
  • Casual leave (CL)
  • Leave without pay (LWP)
  • Maternity leave (ML)
  • Paternity leave
  • Compensatory Off


Aside from leave types (EL and SL) that are commanded by the work laws, it is dependent upon the organization to choose what sorts of leaves will be given to its employees. At one extraordinary, a few organizations permit just those leaves that are required for statutory compliance and not a day more. At the other outrageous, you may have organizations that have a one-line policy that says "disappear at whatever point you need it!". 


Most organizations fall someplace in the middle of these. HR needs to guarantee that all leaves benefited by the representative are followed. They would likewise need to follow leave abrogations done. 


Leave Rules


When you have distinguished the sorts of leave a worker can take, you have to characterize different rules for each leave type. 


  • Grant/entitlement—quantum of leave to be granted, how often and when.
  • Availing rules—how often an employee can avail leave, limits, restrictions, etc.
  • Eligibility—who is entitled to this type of leave.
  • Approvals—who can approve and approval limits.
  • Year-end activity—carrying forward of leaves up to a maximum limit, lapses, etc.
  • Clubbing & covering rules for intervening weekends or holidays.
  • Encashment
  • For  Sick Leave, Maternity Leave, etc. additional documentation to be maintained. HR needs to ensure that all documents are available.


Weekend Policy

A weekend policy expresses the days when employees can take their week by week off. Once more, there are work laws that order the base necessities. Paid week by week offs are significant for leave calculation. 


5-day week—Saturday and Sunday are off.

6-day week—only Sunday is off.

Second Saturday off (apart from Sunday).

Alternate Saturday off (1st, 3rd, and 5th Saturdays are working in a month).


Holiday List


Every organization needs to declare a list of holidays for a given calendar year. This list may shift starting with one area then onto the next and an organization may have various records for its employees in various areas. Again the occasion list is significant for leave calculation.