Monday, May 29, 2017

Everything you should know about leave management system

Leave management system is one of essential HR processes which will consume a small but significant portion of the managerial time. Although this does not take more time, yet approving leaves is a delicate balancing act. On one hand, that the HR has to ensure compliance with leave policy and make sure availability of sufficient resources for business continuance, while on the other it has to improve and employee satisfaction. Most of us have witnessed bitter manager-employee relation on issuing of leaves making leave management a strategic task for the organization.
Leave management systems can help HR professionals to allow and approve leaves, track absences and make payments accordingly. It also helps the HR department to manage employee absences and it is used alongside time tracking devices. All companies, of small, big and large, can use leave management system. A leave management system can help you to manage employees leave requests and make that leaves are granted in a timely and automated manner. Meanwhile, managers and supervisors are alerted before leaves are granted, if that is necessary.

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Meeting project delivery deadlines:
Availability of manpower directly impacts on the project delivery schedules. While in committing to delivery dates, managers who need to keep in mind the availability of sufficient resources. They also need to know the peak leave periods and should commit to delivery dates accordingly. Also, when important projects are nearing deadlines, they should approve leaves prudently.
Legal issues:
Every country has few legal rules for employee leaves. For example, the Family and Medical Leave Act (FMLA) in the United States with its broad definition of medical conditions and generous leave provisions which can scare employers, especially smaller companies who rely on a handful of key employees. Failing to comply with the complicated requirements of this law may result in serious liability for both companies and individuals. Similarly, in India, Annual Leave with Wages lays clear guidelines for leaves.


Emotional factors:
Getting leaves in perfect time is a major employee satisfaction factor. Employees have many personal needs which require their absence from work. Read another of our post on denying leaves which can cause emotional stress where we studied a case of mismanaged leave request. When leave management software is being integrated with automated payroll software, the system can automatically generate accurate payslips.
Financial implications:
Accrued leaves are financial legally responsible for organizations, especially paid and privileged leaves that need to be reimbursed at the time of separation or as and when required by employee according to a leave policy. If employees do not take enough leaves, the financial liability of the an organization increases and the HR should report this to management at some regular intervals.
Performance vs leaves:

Work-life balance has a direct impact on an employee’s performance. Both, the employees who do not take sufficient leaves and suffer from stress and employees who takes too many leaves and are careless towards their job have the negative impact on their performance. Both types of employees should be monitored carefully and coached on maintaining a productive work-life balance. Switching to Leave management software system will be a smarter and efficient.

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