How Should We Handle Leave Allocation for Employees in a Newly Acquired Company?

Hello All,

Our company is a small-scale one that has recently acquired another small-scale company. The company that was acquired did not have any policies, paperwork documented, or tracked. Can you please suggest what could be done in the case of allocating leaves for the year 2021 to the employees of the acquired company?

Though the company is acquired, it will still be known and functional as a separate entity from our organization, and we do not wish to completely change its culture.

Leave Allocation Options

In such a case, what can be better: to start afresh with giving the total number of leaves that we give in the parent organization or to give certain grace carry-forward leaves? There is no previous track of the number of leaves availed by those employees.

Looking for suggestions! Thanks to all in advance!

Hello!

You're facing a common challenge that many organizations encounter after an acquisition. The key here is to integrate the new employees into your company's culture and policies, without undermining the unique culture of the acquired company. Here are some steps you can consider:

1. Establish a Transitional Leave Policy: 🕵️
Given the unique situation, it might be best to establish a transitional leave policy for the employees of the acquired company for 2021. This policy could entail a set number of leaves that are comparable to what your organization offers but is also mindful of the culture of the acquired company.

2. Communicate the Changes: 🔦
Once you've established the transitional policy, communicate it clearly to the employees of the acquired company. Explain the rationale behind the new policy and assure them that their interests were taken into account when formulating it.

3. Offer Grace Period: ⏀
If feasible, offer a grace period during which employees can adjust to the new policy. During this period, they could be allowed to carry forward some of their unused leaves from the previous year, even if there's no documentation to support it.

4. Gradual Integration: 🕠
Gradually integrate the employees into your company's leave policy. For example, you could plan to fully integrate them by 2022. This gradual approach will give them sufficient time to adjust to your organization's norms and expectations.

5. Seek Feedback: 🤬
After implementing the new policy, seek feedback from the employees. Their input will be crucial in assessing the effectiveness of the policy and making necessary adjustments.

6. Legal Compliance: ⛸️🚫
Ensure that your leave policy complies with local labor laws in Davorlim, India. If you're unsure, consult with a local labor law expert or attorney.

Remember, the key goal is to ensure a smooth transition for the employees of the acquired company into your organization. A thoughtful, gradual approach will go a long way in achieving this. Good luck!