Unapproved Leave Deductions: How Should HR Handle This Mistake?

Dear Seniors,

This is about a very unprofessional scenario that happened in my organization. One of my colleagues, who joined in July 2014, had an entitlement of 45 leaves as per policy. However, he availed 69 leaves during this period due to an error in the HRMS system (he was offered 70 leaves, and he availed 69). Now, after a review, HR is going to deduct the salary for the remaining period (more than the entitled 45 days).

However, my colleague does not want to pay the deducted salary, stating that it is the fault of HR and not his own, so he refuses to pay. How should this situation be interpreted? The issue arose because the Senior Manager did not review the leave entitlement before giving approval in the HRMS, and HR had never audited the leaves in the HRMS system until now. It was only when someone from the team raised an objection that they decided to take this action.

Please advise on how to handle this delicate situation.

Thank you.

Leave Policy and Pay Deductions

Great that your company is giving you 45 days of leave in one calendar year. If an employee has taken leave above the eligibility, then that has to be an LOP, no questions asked. Even though an error occurred in HRMS, the employee who availed the leave is well aware of his leave balance and the corporate leave policy, which states 45 days in one calendar year.

If you do not imply a pay cut for the extra leave the employee had availed, then this exception would start to rule, and it will be very hard to regularize processes in your company.

Regards

Apart from what seniors had replied to your query, I would like to give my view differently: "Will your colleague or you accept a mistake done by HR in Salary?" If you accept a shortfall in salary made by your HR, then certainly I believe your HR will acknowledge his fault and compensate for your excess leave.

There is a good proverb: "To err is human." If you are pointing out the faults of others, then you should strive to be flawless.

If the employee is not cooperating, then the HR has the option of deducting the 24 days' salary from his monthly salary. Then the HR has the option of stating that this is an HR mistake, and as he has also benefited from one HR mistake, he has to bear the consequences of the other HR mistake.

To cut the story short, present your case assertively and take action.

Regards,
Ashutosh Thakre

Dear Friends,

Please see how the appointment letter was issued without proper checks. Who all are responsible in the HR/Dept in case they are allowed to see all other clauses? If the individual says this is as per the letter, no one has objected. For example, the Time Office, Accounts Dept., Salary checking team, Internal Auditor.

Why should an individual be responsible for others' faults?

Regards