Employee leave management (or time-off management) encompasses the processes and policies of managing employee time-off requests, such as vacation, holidays, sick leave, and parental leave. The goal of leave management is to handle employee time-off requests in a fair and accurate way so business runs smoothly while employees get the benefits they are entitled to. Leave management is a primary component of the HR department’s responsibilities. Managing time-off requests means juggling staffing requirements while maintaining employee satisfaction and ensuring legal and policy compliance. This is easier said than done, which is why having a clear leave management process is so important. A good leave management system helps HR and team managers ensure everyone is on the same page and both business and personnel needs are being met.
The benefits of leave management are clear, but to help illustrate why it is so important to have good leave policies, let’s consider some scenarios that you’ll want to avoid, and probably won’t without good leave management practices in place.
Leave management without a proper leave management system can result in:
Being understaffed:- Why is half of your team missing on the day you need to hit that deadline? A proper leave management process allows you to work leave in with project deadlines so you’ll always have enough staff to cover the workload.
Incorrect understanding of time-off requests :- You are asking for trouble if you approve an annual leave request without the proper visibility or other requests, both approved and pending. It’s easy to say yes to people when they ask, but this can come back to bite you later when you realise you forgot about your other approvals.
Evaluating same-day requests :- How do you fairly compare identical time-off requests? You can only let one employee off that day, and without access to information about their leave history, you might refuse a valid time-off request and risk creating a bigger issue.
Incorrect calculation of leave :- There is nothing worse than a leave discrepancy between staff member and manager, especially when you can’t prove the correct answer. From the incorrect calculation of paid leave hours to inaccurate recording of who took which day off and when this can become messy and unfair when you have no proper method for recording leave. The last thing you want is to give an employee too much, or too little, time-off.
Here is the list to check if an employee is eligible to receive the gratuity amount from the employer or not: