What is Leave Management?

As a company, you have employees and, naturally, they take off from work for various reasons like Vacation, Health Issues, Marriage, Bereavement, etc. These leaves or time-offs are paid or unpaid based on your company policies. 

Usually, a company gives a pool of days as Paid time off to its employees that they can use when required. Once these days are over, employees take leave with loss of pay or take a few hours away from work. 

This whole process of leave and managing it is called Leave Management. Providing the leaves, keeping track of the count of the leaves used, employees applying for these leaves, concerned people approving or declining these requests, accruals, carryovers, payroll based on leave consumption are a few of the major tasks involved in Leave Management for an HR.

An employee is applying for leave by selecting the date in the calendar.

Why leave management system is important?

The tasks involved in leave management can be tedious and tiring for your HR folks for these reasons: 

  • Keeping tabs on every employee’s leave pattern manually 
  • Updating and maintaining dozens of paperwork on a par with the actual situation

  • Making sure employees follow guidelines and company policies while taking leave 

Most of the above tasks require your HR team to keep running behind every employee and even with constant check-ins the chances of slipping details are very possible. This is exactly why you need an Absence Management System for your company. Once your company becomes over 50, or even 30 employees firm, it's ideal to get a Leave Management System software. It becomes all the more essential if you track time, attendance and hours worked to pay your employees compensation to avoid flaws, confusion, and as a result employee-employer conflict. 

What are the basic features to look for in an online Leave Management Software?

Leave Tracking 

First on the list is Leave Tracking. One of the basic features you can see in any leave management system is leave tracking which will track the leaves consumed by every employee of your organization. The number of days, the number of employees not available at the same time or in the upcoming days, etc. all come as a part of leave tracking. 

Team Holiday Management 

Another important feature of an employee vacation tracking software is that it gives the entire team a context on the holiday pattern of everyone in the team. This helps in three things: avoiding the creation of dependencies, planning a day or week by knowing who’s in or out, and coordinating vacation planning. Making employees be self-responsible for the smooth running of the team increases employee participation and engagement. 

Multiple Policies

One of the main features you should look out for in a Leave Management System is the ability to create multiple leave policies. A company can have different departments, branches across countries, people working in different regional shifts, etc., All these mean “one size fits all” will not work. You need more than one time off policy to accommodate everyone and that’s what multiple policies will help you do.  

Multiple Holiday Calendars and Workweeks 

If you have multiple policies, or different shits for your employees, or offices across India, you would surely need your leave management software to have a feature that helps with it. Holiday calendars and Workweeks does just that. It helps you personalize and map holiday calendars and workweeks for different groups or teams or countries. 

Accruals and Carryovers 

Another essential feature of any online Leave Management System is its ability to allow accruals and automate carryovers. These are processes that if done manually can go wrong or be missed easily. A leave management system should make sure it aligns the timely accruals and periodic carryovers with the policy and automates the whole process.

Approval Workflows

Leave Management is an easy task if set right. The approval process forms a huge part of this whole system. The ability to set clear approval workflows that match or cover for any situation or loopholes is an essential feature required in any Leave Management System. Some common things that your Leave Management software should ask you when your setting the approval workflow are: 

- Who approves the leave request in the Reporting Manager’s absence?

- Who approves the requests of an employee who does not have a direct reporting manager? 

- How many times can leave be applied and rejected for a single employee?

- As a Manager, I can approve how many days after the exhaustion of the provided paid time off of an employee?

- What is the maximum number of leaves that can be approved at the same time? 

Integrations 

An ideal leave management system should have room for an ample amount of integrations, easily and cost-friendly. Because your HRIS software, your Attendance Management system, your Payroll would all require information from your employee Leave Management system. Providing this ensures a hassle-free functioning for your HR team. It would not be smart if you cannot combine all of your systems and unify the process.

Mobile App 

With the trend of the world, it becomes highly important that your Holiday Management Software comes with a supporting Mobile App. This lets employees apply for requests from anywhere and managers approve from anywhere. The whole system on a phone makes it smart and easy to get things done without interruption.

Reports / Trends

Reports or Trends feature in a Leave Management System gives the leave pattern of the entire team or organization helping in understanding the employees better. It will also help to decide, for example, if you notice no one in your company is taking off, it is a signal that your employees are burning out and the warning signs can help you arrange something to give them their break, on the contrary, if there is an absenteeism prevailing among employees you can spot it in advance and see what can be done to motivate your employees.

 

Why Freshteam is the best Leave Management System in town?

Create Multiple Leave Policies 

Freshteam not only has the easiest and smartest policy creation for leave/time-off, but it also allows you to have multiple time-off policies. One solution for all. You can create policies for different locations, departments, teams, and map respective holiday calendars and workweeks to it. 

You can set individual rules, approval workflows, accrual frequency, and balance carryovers for each policy and customize them to the maximum.

Screenshot of software that defines the rules of each leave type.

Accurate Approval Workflows

With each policy, you can create approval workflows that best suit your needs. Reporting Manager or HR Partner or no approval, it’s your call, and it’s easy to implement.

Product screenshot displays the pending leave request that is waiting for approval.

Team Calendar 

A quick bird's-eye view on the availability of the team for the Manager and team members that help in planning their workday/ week well in advance. It also helps to avoid the creation of dependencies among the employees.

A screenshot shows the team calendar with all the employee’s availability status.

Holiday Calendar and Workweeks 

Freshteam comes with the in-built holiday calendar of 18 countries and also lets you create new ones based on your region. You can customize the workweek for each policy to sync with your company practices, making it easy for employees while applying time off.

A screenshot displays all the public and optional holidays that employees can take.

Multi-purpose Dashboard 

The Time-off Dashboard from Freshteam gives you complete context on everything about Time-off in one quick glance. The time-off trend of your team or yours, upcoming and past time-off requests, leave balance, and upcoming holidays. 

If you are a Manager or HR Partner, you can also approve/decline leave requests directly from the Dashboard.

A leave tracking system’s dashboard that shows upcoming holidays, time off consumes and remaining leave count.

Mobile App

All the above features in a Mobile App, both Android and iOS. Your employees can now manage their leaves on the go.

Three smartphones have Freshteam’s leave managing application installed.

Benefits of Employee Leave Management System

A leave tracking system can help you establish your company’s leave policy/policies to its employees and also automate most of the process making sure glitches do not occur. It can also, 

Increase Employee Satisfaction 

Employee Leave Management System lets the employees apply for their own time-off, manage their leave balance, plan vacations in advance and know the availability of their peers through a simple system. Making a crucial process like Leave Management simple for your employees increases their satisfaction with the organization. 

Reduce Costs

Know if employees are not using their time off or if they are taking too much off, either way, measure the costs falling on the company through a sustained system that can give you a head-up to act on the prevailing issues reducing financial loss. 

Provide accessibility from anywhere

Online Leave Management System makes it possible for your employees, managers and HR personnel to access the system from anywhere. Employees can apply for leave from anywhere, managers can approve/decline it from anywhere and HR Personnel can fetch information they need from anywhere, instantly and decide. 

Improve Team Work

Vacations or emergencies, with an online leave management system you can get information about the entire team’s availability. It is transparent, helps employees and managers decide time-off sensibly without creating dependencies. Miscommunication is completely taken off the table and vacations or leaves are planned before in hand without deters. 

Fetch accurate Metrics and Analytics

Manual errors are completely made impossible with leave management software in place. Automatically created reports give error-free analysis on the leave pattern of your entire organization making timely audits and reviews accurate. You can also act on employee absenteeism proactively. 

Be law compliant

Most cloud-based leave management software comes with law compliance based on each country or province helping your company to stay compliant with the legal side of the laws on the employee leaves prevailing in each country. 

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