Leave Policy
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Also known as: absence policy, holiday policy
A leave policy is the documented set of rules governing how employees accrue, request, and take each type of leave, from notice periods to carry-over.
A leave policy is the written framework that defines, for each leave type, how much employees get, how it accrues, how it's requested and approved, carry-over and expiry rules, and any restrictions such as blackout periods or notice requirements.
A clear, consistently applied leave policy prevents ad-hoc decisions, ensures fairness, and keeps the employer compliant with statutory minimums. In a leave tracker, the policy is encoded as configurable rules that apply automatically.
What a leave policy covers
Leave types: which kinds of leave exist (annual, sick, parental, bereavement, unpaid, TOIL and so on), and whether each is paid.
Entitlement: how many days each person gets, how part-timers and joiners partway through the year are pro-rated, and whether service adds days.
Accrual and the leave year: whether leave is granted up front or builds up month by month, and when the leave year starts and ends.
Requesting and approval: how much notice to give, who approves, and what happens when the approver is away.
Restrictions: blackout periods, a limit on how many people can be off at once, and minimum or maximum request lengths.
Carry-over and expiry: how many unused days roll into the next year, and when they expire.
Sickness and evidence: how to report sickness, and when a fit note or other evidence is needed.
Leaving: how untaken leave is paid out, or leave taken beyond the earned amount is recovered, when someone leaves.
Leave policy templates
Most companies write one annual leave policy and add a short policy for each special type of leave. These templates are free to copy and adapt to your own rules and the law where your people work.
- Annual leave policy template
- Sick leave policy template
- Compassionate and bereavement leave policy
- Short-notice leave request policy
- Study leave policy template
- Volunteering leave policy template
- Birthday leave policy template
- Pet bereavement leave policy template
Example
NovaTech's annual leave policy gives everyone 25 days a year, pro-rated for part-timers and people who join mid-year, over a leave year from January to December. Requests longer than three days need two weeks' notice, line managers approve, and no more than two people in a department can be off on the same day. Up to 5 unused days carry over and expire on 31 March.
See it in Absenca
Absenca encodes your accrual, carry-over, and notice rules as settings, so your leave policy applies itself to every request.
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Absenca handles accrual, carry-over, pro-rata, and public holidays automatically — so every balance is right without a spreadsheet. Free for up to 10 people.