Employee happiness depends on a number of things and one of them is the leave policy. If you are not flexible enough and offer only unpaid leaves, employees will not be happy. On the other hand, you cannot offer numerous paid leaves because your business will suffer.
Furnishing a good leave policy that benefits your employees as well as the company is important. There are many things that go into this including the industry you are in and the law. This might seem complicated but once you go through with it, it will play an important role in employee retention.
We have enlisted a few factors that you should consider in this process:
The first thing to do would be to acquaint yourself with the law and understand what the law requires you to do. There are federal laws, state laws, and local laws for you to consider. You must go through all three laws because there are instances where the local law does not mandate something but the federal law does. You may want to talk your lawyer about this as well.
The leave management policy should have each and everything including the nuances spelled out very clearly. The policy should also include the process by which the person should apply. The notice period, the request submission, and the criteria for leaves must also be specified very clearly. Ambiguity in the contract will not work in your favor and that is why you have to pay attention to the details. You should also talk about employees abusing policies and what the result may be under such circumstances.
Once you set the laws in place you should decide to whom the policy applies. For example, a particular stipulation or category may apply only to a particular set of employees. You should be very careful is specifying that. You may have seasonal employees or temporary employees from time-to-time. Does your policy apply to them as well or is it only for full-time employees? Are you open to extending the leave under dire circumstances? If yes, you should work to balance the financial and administrative disruption that this may cause you.
Different industries have different policies. In order to stay on par with your competitors you have to know what they are offering to their employees. Your policy should be feasible and helpful so that employees do not consider leaving you because your competitors offer a better leave policy than you do.
Offering an employee leave policy that is beneficial to the employee as well as the company is necessary. At the same time you shouldn’t be so feasible that it totally works against you. Weigh all the requirements and seek expert advice while furnishing the policy.
A good and clear leave policy is very important for employee retention. You cannot be very strict and offer few or no paid leaves because that will put unnecessary stress on your employees. The law requires you to allow leaves on certain grounds and you should do so after thorough understanding of your industry, the law, and the employee requirements.