Leave Setup

Setting Up Leave Policy

Follow these steps to create a leave policy setup:

Step 1: Geographical Setup

Identify the location of the office branch for this setup by selecting fields in the Geographical Setup section
Start by clicking on thefirst field and selectingthe name of your company, the applicable market, cluster, sub-cluster, Country, City and Branch from the drop down menu options of each field.
If you want the leave type to be applicable to all regions in your company, you can stop the selection at company.

Next is the Leave Type and Rules Setup section, the fields under this section will help you identify details of the type of leave you are going to set up.

Click on Leave Type and select one from the options showing below. Based on the options you select, certain fields in the setup will be disabled. For instance, in case of Sick Leaves, carry forward options become disabled. In case of Paid Leaves, Half & Short leave options become disabled. Let’s start by selecting a Sick Leave in Leave Type.
Next, you can enter the name of the type of leave you are creating. This is what will be shown to employees while applying, andthis can be different from the leave type selected earlier.
The Calculation Basis field is where you will select if this type of leave will be based on working days or on calendar days, selecting working days would mean that the entitlement you allocate will be in terms of Working days, and weekends will not count.
Next, in the Duration field, select the checkboxes to choose if this type of leave could be taken for a full or half a day, or for a short period of time. All 3 options can be allowed at the same time in case of sick leave. However, in some leave types, like paid leaves, Half & Short options are disabled. If these are allowed, the next few drop-downs become enabled so that you can identify the rules for how Half & Short leaves can be availed. For instance, Half Leave Criteria & Short Leave Criteria both allow you to decide which part of the day these leaves can be taken. If they can be taken at any time, choose the flexible option. Secondly, Half Leave Duration and Short Leave Duration allow you to identify the maximum duration for which these leaves can be taken. You can even identify if more than one short leave can be taken in a single day.
The Year End basis field allows the user to identify the period, starting from which the Leave Entitlement will be allocated. For example, if fiscal year is chosen, then the employee will be awarded their entitlement at the start of the fiscal year, and at the end of the fiscal year, this entitlement will be replenished. If the user selects Employee Year, then the Leave Entitlement is allocated to the employee on their date of Joining and the entitlement is refreshed every year on their date of joining.
The Entitlement Carry Forward field allows you to identify whether you allow your employees to carry the number of leaves that were not availed in the previous year, forward into the next, by clicking on either yes or no from the options in the drop down.
If you select yes, the next field titled the Carry Forward Limit field, will be enabled. Here, click and add manually the number of leaves employees can carry forward from the annual leave quota of the previous year.

If you select "yes" in the Entitlement Carry Forward field, you can then fill out the Carry Forward Lapse field. This field will only be active if you allow employees to carry forward their unused leaves from the previous year. If you want to set a limit on how long these carried forward leaves can be used, choose "yes" in the Carry Forward Lapse field.
In the Carry Forward Lapse Limit field, identify the time period after which the unused carry forward leaves would expire.
This will enable the Carry Forward Lapse Period field. In this field, you can specify the timeframe during which employees can use their carried forward leaves. Once this time period is over, the carried forward leaves will expire, and employees can only use the leaves allotted for the current year.
The Prorated Leaves field allows you to determine if employees who join the company after the start of the fiscal year will receive the full annual leave entitlement for the remaining period of that year. If “no” is selected, then the employee will receive the full leave entitlement upon joining. If “yes” is selected, the annual leave entitlement will be divided over each month, and the employee will only receive entitlement according to the remaining months of the year.
Moving on to the Earned Leaves field, when you choose "yes" here, then employees will not be awarded their full entitlement altogether. Instead the entitlement will be divided by 12 and that divided amount will be awarded to the employee each month until the end of the year.
In the Sandwich Rule field, you can choose an option from the drop-down menu to decide whether or not to apply the standard sandwich rule to this type of leave. Standard Sandwich rule means that if a weekend falls within the the dates of your leave, that will be counted as part of your leave and deducted from your entitlement. You can also select "Not Applicable" if the rule doesn't apply, or specify that it only applies if the leave is taken immediately before or after the weekend.
The last row of this section starts with the Leave Encashment field. Here, you can choose whether to let employees can claim payment for their unused leaves at the end of the month. Simply click on the field and select either "allowed" or "not allowed" from the options provided.
In the Apply Beyond Entitlement field, you can choose whether to let employees request additional leaves for the year. If you select "allowed," the Leave Undertaking field becomes active.
In the Leave Undertaking field, you can decide if employees need to provide a formal agreement when requesting extra leaves, which would deduct leaves from their next year's quota and add them to the current year's leaves.
If you select "yes" in the Show Entitlement field, the leave entitlement option will be visible in your employees' leave applications.

Step 3: Application Parameters

The Application Parameters section is where you can customize and set specific rules for leave applications. You can define parameters like the maximum number of leaves that can be taken per month or per week. These settings help regulate and control the leave application process.

Let's start with the Document Required field. If the type of leave application you're setting up needs employees to submit a document, like a medical certificate for sick leave, you can check the box for "Yes." This will provide an option for employees to upload the required document during the application process. On the other hand, if the leave type doesn't need any document proof, such as emergency leave, you can check the box for "No."
If you choose "Yes" in the Document Required field, the next field called Minimum Days will become active. Here, you can enter the number of consecutive leave days after which employees need to submit a document. For example, if you set the Minimum Days to 2, an employee taking sick leave for more than 2 consecutive days will have to provide a medical certificate on the third day. This field allows you to enter any number according to your company's policy.
Next is the Apply Pre Fact field. Here, you can decide whether employees can apply for leave before actually taking it.
If you choose "allowed" in this field, the Minimum Pre-fact Apply field will become active. In this field, you can specify the minimum number of days in advance employees can apply for this type of leave.
Additionally, in the Maximum Pre-fact Apply field, you can enter the maximum number of days in advance employees can apply for leave. These two fields establish the time window for requesting leave before actually using it.
In the Apply for Next Year field, you can choose whether to let employees request leaves for the next fiscal year in advance. If you allow this, leaves from the next year's quota will be deducted when used, even if they were requested and scheduled in the previous year.
Moving on to the Applied Post-Fact field, you can choose whether to allow employees to apply for leave after they were absent without giving prior notice. If you allow this, employees who have already missed a whole day, half a day, or a short period of time can request leave for that or any day after that. However, if you don't allow this option, the missed working day will be marked as an absence.
If you do allow post-fact leave applications, the Maximum Post-Fact Apply field will be activated. Here, you can specify the number of days within which employees can apply for leave after they have already missed a working day without prior notice.
In the Leave Minimum Duration field, you can set the minimum number of days for which the employee can apply that leave. For example, in some companies employees can only avail annual leaves if they apply for 10 or more together.
In the Maximum Consecutive Days field, you can specify the maximum number of consecutive days that employees are allowed to take leave at once.
The Enforce Leave field helps you determine if employees are required by policy to take this type of leave during the fiscal year.
If you select "yes," the Enforce Minimum field will be visible. In this field, you can specify the total number of leaves that will be mandated for an employee who hasn't taken any leaves so far.
The Monthly Quota field lets you set the maximum number of leaves an employee can apply for within a month for this specific leave type.
Similarly, the Weekly Quota field allows you to define the maximum number of leaves an employee can request within a week for this leave type.
In the Maximum Annual Frequency field, you can specify how many times employees can apply for annual leaves throughout the year. For example, some companies allow Pilgrimage leave to only be taken once a year. In this case, the maximum annual frequency for that leave type will be One.
In the Maximum Monthly Frequency field, you can specify the maximum number of times an employee can create an application for that leave type within a month.

Step 4: Reasons

The next is the Reasons section, here you add various pre-defined reasons for taking that leave. The employee will have to choose from one of these options when creating the application. These are free text fields, to enter a reason click on the plus sign with the Add Reason field and enter in the text box that appears.

Step 5: Eligibility and Entitlement Setup

The final section is the Eligibility and Entitlement Setup section. This is where we determine what amount of leaves different types of employees are entitled to.

Let's start with the Eligibility subsection, which has multiple criteria and condition columns with a row underneath. To begin, click on the first field called Criteria 1 and choose an option from the drop-down menu. This field allows you to select employment type, band, department, or designation.
Next, under the column titled Condition 1, specify the condition for the selected criteria. For example, if you choose Employment Type as Criteria 1, the options under Condition 1 will show you different employment types like permanent, contractual, or part-time. You can select a specific employment type or choose "select all" to apply the entitlement to employees of all employment types. If you choose a specific option, like permanent employee, in the Condition 1 field next to Criteria 1, then the selected entitlement will only apply to permanent employees. Once you have created a combination of Criteria& Conditions, use the last field to enter the entitlement for that leave type. In this way, you have now identified that Permanent Employees in your organization are entitled to this number of leaves.
You can add as many criteria as you need to. For example, you can add Tenure as the next criteria and choose 3 months as the corresponding condition. Now you have configured the policy such that Employees whose Employment status is permanent, and Tenure in the organization is 3 months, will be entitled to this number of leaves. Add more columns to add new criteria to further customize this policy.
To create a new entitlement set for other types of employees, add a row below by clicking the button labeled “Add eligibility & Entitlement.”

Step 6: Change Status

The last step to set up this application is to change its status in the Status Field. Simply click on the drop-down menu and select "active." Once done, click the update button at the bottom of the section. This will create an entry in the Leave List section at the bottom of the screen, showing the Leave Title, Leave Type, Calculation Type, and the Entitlement number.
If you need to make any changes to this application later on, you can always go back to it by selecting the update option from the bottom of the list. From there, you can modify the necessary details.
You can also reset and re-enter all details for this application by clicking on the Reset option at the bottom of the last section of this screen.

@include('usermanual.inc.sidebar') @include('usermanual.inc.footer')