Dear Friends,
Need your opinion, please share how you do it:
We are a not for profit organization and always emphasis on adopting best practices for our staff (12 people in the core team). Our Maternity leave policy allow staff to take full 6 months of leaves. We are even flexible post this if that employee need flexible working hours or work from home on some days etc..
But when it comes to appraisal and increment, our policy says to prorate the %. Our increment % gets prorate and applicable on only month for which this particular staff was present. For example if in the appraisal period this staff was present only for 8 month and increase is announced as 10% we will give = 10/12*8=6.67%.
Do you think this is a wrong practice? Do your give full or How differently you do it?
Pls help.

From Singapore, Singapore
As I am given to understand so far, if on the normal date of sanction of annual increment, the concerned employee happens to be on any leave other than casual leave, the increment would be sanctioned but its monetary effect would take place only from the date of rejoining of the employee; that's all. If he avails of any leave for which he is entitled to salary subsequent to sanction of his annual increment, he would continue to get the entire incremented salary as the amount of increment merges with the basic salary. Thus increment becomes an inseparable part of his salary and that is the concept of increment.
But the system of increment described in the post seems to me the one unheard of. It seems something like attendance bonus and not increment on the existing salary received by the employee. Suppose an employee does not avail any leave during the first two years of service, but goes on earned leave for about 30 days in the third year, would the employee lose the amounts of two increments from the leave salary for the 30 days?
The poster may kindly clarify.

From India, Salem
Increment, depend on overall performance and not on attendance. So if a person goes on leave for medical or any other reason that period should be considered in increment.
I feel you should change that.

From India, Pune
You should not mix up two things i.e. increment and promotion. Everyone should get fair increment as per market rate(Price Index)may be one on leave for any reason.
The promotion policy will decide whether to consider or not while on long leave. For example, in an establishment a staff is considered for promotion after 3 years provided his/her appraisal is okay for last 2.5 years but 0.5 years leave for uncertainty.

From India, Mumbai

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