Established Information Technology Business

Remuneration + Benefits
Written By Zoe Scott

Transforming leave management for a technology business facing excessive annual and long service leave liabilities, strategic interventions were implemented to enhance operational efficiency and employee satisfaction.

 

Key Challenges

  • Accrued leave creating financial and operational concerns

  • Lack of cohesive policies for leave management

  • Ineffective processes failing to prevent or detect excessive leave accrual

  • Unsubmitted or unprocessed leave requests

  • Balancing resolution with maintaining operational efficiency and employee morale

 

Process

1. Solution Strategy

  • Reviewed leave balances, identified excessive accruals, and engaged with employees to correct inaccuracies and plan leave usage

  • Introduced options like extended leave or cashing out accrued leave

  • Implemented a user-friendly system to streamline leave submission and tracking

  • Established clear leave policies, limited accrual to six weeks, and required leave-taking, supported by organisation-wide communication

  • Educated managers on effective leave management and new policies

  • Embedded leave management into the employee handbook, onboarding, and ongoing manager training to foster proactive leave planning.

2. Implementation

  • Prioritised cases based on leave balance analysis

  • Communicated with employees about leave situations and negotiated usage or cash-out arrangements

  • Deployed new leave management software with user training

  • Revised human resources policies and employee handbook to include new leave guidelines and ensured widespread understanding

  • Hosted education sessions for managers to prepare them for managing leave effectively

  • Regularly monitored and reported progress to adapt strategies as needed

 

Outcome

  • Significant reduction in overall leave liability on the company’s balance sheet

  • Enhanced employee experience, engagement and satisfaction due to clearer human resources policies and flexible leave options

  • Improved operational planning and reduced risk of unplanned absences

  • More efficient leave management process, simplifying submission and approval for employees and managers

 

Learnings

  • Clear human resources policies and advanced technology are crucial for effective leave management

  • Direct engagement with employees and flexible options improve satisfaction and compliance

  • Manager education is vital for the successful implementation of new leave policies

  • Planning, communication, and training ensure sustained improvements in organisational well-being and operational efficiency

 
Zoe Scott
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Large Financial Services Organisation