Paid leaves without prior notice cost heavily on the budgets of the company. It is an unaccounted for absence which would not only cost money to the company but also would mean extra work load on the other employees. This further causes the low morale and satisfaction amongst the other co workers who have to face the consequences of someone else’s leave. Also, it has been known that nearly 15% of the payroll is used by employees for absent leaves. The company is not only liable to pay these employees extra money but also the overtime work cost has to be paid to other employees as compensation of the extra workload.

But it is also essential to take into account the importance of leaves. Without proper leave the productivity of the employee reduces drastically thus, affecting the overall output of the company. Hence, it is essential to have a leave management system that would regulate the leave pattern of the employee.


The importance of leave cannot be denied. Any individual who works without a break is likely to reach a threshold post where his productivity and work would suffer. After a certain extent a worker is unable to concentrate and give his best to the organization. This situation results in forcing the employee to look for other avenues which are less taxing and would give him his due break.


Leave management system is one of the HR’s most important processes, which if regulated takes a very minor amount of time. But in case there is no leave management system it can substantially affect the functioning of the company.

The objective of this system is to primarily manage leaves and regulate them so that each employee can benefit equally from it. With the help of this system the employees can apply for leaves, the superiors can approve or reject the leaves, incase need be the superiors can also escalate the leave to a higher governing authority and HR can update the status of the employees online or on the database.

This allows a transparent leave management system in which the employee and the employer are aware of the availed leaves and the benefits that they would get. Also, it makes it easier for other employees to plan their leave without costing the company excessive monetary or work loss.


The following benefits are received by the employees if they have a leave management system:

  • Each employee is able to view the number of leaves availed and pending.
  • They are able to directly view their status of half days, time offs and balance paid leaves.
  • They have the transaction history to monitor their progress.
  • They can directly request the enter and exit times before and after the leave.


Some of the major benefits of leave management system come to the Management who has to approve or disapprove the leave based on the requirements of the employee and the company.

  • Approve or reject the leave
  • Escalate to a higher authority in case of consideration
  • View the number of leaves availed and pattern followed by the employee.
  • Keep the track of past leave record
  • Suggest probable or alternate leave plans so as to maintain the on job work force of employees.


The benefits for HR are plenty. However, the most important is the ease of maintaining the records of each employee and regulate the leaves of others as well.

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