An ineffective leave policy could cripple your business from right under your nose
Did you know that not forcing your employees to take their annual leave could end up costing you anything up to R15,000 per employee?
That's right - employees that don't take leave could be costing you just as much as those that abuse it.
That's because any leave that's accrued into the following financial year will increase the leave bill for your company and therefore severely affect your organisation in the long run.
That's why I'm excited to introduce you to a resource that completely takes the stress and confusion out of managing annual leave in your company.
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If you have a shutdown period, warn employees that they'll need to have enough leave days to cover the time.
Warn them that if they don't have enough leave to cover the annual shutdown period, then you'll consider the shortfall as unpaid leave.
It's illegal to make an employee do any work while on leave, nor can you request an employee to go on 'stand-by' during leave.
This is regardless of what type of leave it is (family responsibility leave, sick leave
, annual leave etc.)
You can only pay out for leave days if:
· Your employee resigns;
· You dismiss
· You retrench him;
· He dies; or
· He retires.
NOTE: This ONLY apply to the legal entitlement of 21 consecutive days (15 working days).
You don't have to pay out for any other annual leave days you give above this.
Make sure that your leave policy describes how you'll treat these other days.
Ensure that your leave policy is fully compliant with labour law, and that the conditions are reasonable and practically enforceable.
*Do you want to learn what the other 2 factors are? Then Page over to chapter L 05: Leave Policy
in your Practical Guide to Human Resources management
Don't already have it? No problem! We've got you covered.
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