Managing Leave for Mid-Month Joiners: How Do You Handle Pro-Rata Calculations?

Prasad Apte
Managing Leave Policy for Mid-Month Joiners

How can we manage the leave policy for employees who join in the middle of the month? If the leave entitlement is 1.5 days/month for existing employees and 2.5 days/month for new employees, how should we allocate leave for new joiners? Should we provide leave on a pro-rata basis, such as giving leave every 10 days from their start date, or is there a different calculation method to consider?

Proposed Leave Allocation Example

For example, could we allocate leave as follows:
1-10 days of the month - 1.5 leave days
10-20 days of the month - 1 leave day
20-30 days of the month - 0.5 leave day
After the 25th day of the month, no additional leave will be accrued for that month.

Your guidance on this matter would be greatly appreciated. Kindly guide.
saswatabanerjee
Understanding Leave Accrual

If I understand correctly, you are asking us to validate your working. How to decide on the accrual of leaves is mostly a matter left to the organization as long as it does not violate the law.

As per the law, in a factory, you need to compute the salary at the start of the calendar year, giving them 1 day for every 20 days worked in the previous year. No leaves need to be given to the person from joining until the 1st of January. If you want to provide a better policy, nothing stops you. It seems you are basically giving 18 days a year. In that case, your approach seems to be fair.

However, as Mr. Nair said, you need to communicate your problem clearly, or assumptions will be wrong, and you will get a wrong answer.
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