Leave Rules

Once you have identified the types of leave an employee can take, you need to
define various rules for each leave type.

 Grant/entitlement: quantum of leave to be granted, how often and when.

 Availing rules: how often an employee can avail of a leave, limits, restrictions,
etc.

 Eligibility: who is entitled to this type of leave.

 Approvals: who can approve and approval limits.

 Clubbing & covering: rules for intervening weekends or holidays.

 Encashment: what types of leaves can be converted to cash, limits, the salary
components on which to encash.

 Year-end activity: carrying forward leaves up to a maximum limit, lapses, etc.

Rules For Granting Leaves

You need to consider the following as far as grant rules are concerned:

 quantum of leaves to be granted for an year

 frequency of granting (monthly, quarterly or annual)
 expiry period for the granted leave
 Grant eligibility
 Top-up leave grants
 Prorating