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Leave Policy

Use ready-made leave policy to draft guidelines for  employees to take leaves for various reasons

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What is a Leave Policy?

Leave policies are the laws and regulations that govern how many days or hours an employee can take off work for various reasons such as illness, holiday, personal emergencies, or maternity and paternity leave. Employer, industry, country, and local restrictions all influence leave policy.

A comprehensive leave strategy can assist employees in managing their time off and reducing stress levels. It can also enhance workplace happiness and productivity since employees believe their company is concerned about their well-being and work-life balance. Furthermore, a leave policy can assist firms in avoiding any legal complications and ensuring compliance with labor laws and regulations.

Overall, having a clear and fair leave policy can be beneficial for both employees and employers, as it can contribute to a healthy and productive work environment.

Leave policy template

Guidelines for Leave Policy:

This is an example of an HR Leave Policy for employees in a company. It is aimed to balance personal and professional life, while following regulatory requirements for leave and vacations. All regular employees of the company are covered by the policy. The following policy covers the basics of a leave policy and can be customized as per the orgs requirements

Basics of leave policy

  • Leave is not a matter of right and can be granted or refused depending on business demands.
  • Leave of absence without proper approval will result in disciplinary action.
  • All leave records will be maintained in HRMS tool.
  • Employees shall be marked eligible for Earned Leave only after completion of probationary period.
  • It is mandatory for an employee to utilize 18 leaves during a year (12 EL and 6 CL).
  • An employee can avail paid leave depending on their leave balance, and unpaid leave can be availed when leave balance is exhausted.
  • An employee shall not proceed on leave unless the leave has been approved by the reporting manager.
  • Leave for LTA should be earned leave. It cannot be casual.
  • Different types of Leaves are given and listed in the Company HR Annual Leave Policy, including Annual Paid Leave or Unpaid Leave.
  • Casual Leave: Maximum 12 days of paid leave can be availed by an employee in a year. Casual leave cannot be carried forward to the next year and cannot be clubbed with earned leave or any other type of leave.
  • Earned Leave: Leave application for Earned leave must reach the reporting manager 15 days in advance. A maximum of 9 earned leave can be carried forward to the next year.
  • Maternity Leave: Applicable for female employees.
  • Paternity Leave: Applicable for male employees.
  • Leave without pay: Can be availed by an employee at the time of emergency and when no leave balance is left.
  • Compensatory off: Can be availed by an employee for working on a holiday or for additional hours beyond the stipulated working hours.

The HR Leave Policy is meant to provide employees with the necessary flexibility to maintain a healthy work-life balance while ensuring that the company’s business requirements are met.

FAQs (Frequently Asked Questions)

To create a leave policy template for your organization you can refer to various pre made templates.

Ultimately, adult and young workers receive, respectively, 15 and 20 working days’ vacation entitlement annually. Workers in India are entitled to receive their usual daily wage rate during earned leave days.

Comprehensive leave benefits means those leave benefits described in and subject to this chapter, including leaves for vacations, promotional or qualifying examinations.

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