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Leave Management System

Author : Marketing Team   | Follow us on LinkedIn:

28 Jul, 2022

Top Benefits of Leave Management System For Employees And Organization.

Employees and leaves – do they really need to be managed through a system?

When employees take time off from work, HRs record their reason for absence in order to understand their attendance patterns. Employees can request leaves for a number of reasons like sickness, holidays, emergencies, parental duties, etc. As your organization grows and expands into more departments and employees, HRs need a well-defined employee leave management system to streamline employee absences.

Types of Employment Leaves

Different companies have different kinds of leaves that they offer their employees. Nowadays, with corporates and startups prioritizing the happiness and well-being of their employees, leaves have become quite diversified. Here’s a chart to help you get familiar with some of the most common leave types that exist:

Types Of Leave


After the recent pandemic, HRs have also introduced leave for mental health, self-quarantine leave, and covid leave.

To know the difference between taking leaves and indulging in absenteeism, read our blog on how biometric attendance systems deal with absenteeism.

What is a leave management system?

In simple terms, a leave management system enables employers or HRs to keep an organized track of employees’ leave requests. It maintains records for the number of leaves an employee has applied for, types of employment leaves, how many leaves have been approved or rejected, who is the approving authority, etc. All this is done in an online format that can be stored safely and accessed at any time.

Now, how does the leave management system help the employer? Not only workers, but installing a transparent, digital system that manages employee time-off and gives all parties a clear view of the company’s leave policies also helps in minimizing employee burnout, boosting productivity, and establishing a sense of having a good work-life balance in the workforce.

The Significance of Online Leave Management System

HR professionals who have been recording employee leaves in traditional ways can take a deep breath of relief with an online leave management system. Tracking leave balances and accruals is a headache with a large workforce, especially if it is spread over multiple locations.

By implementing modern technological solutions instead of the conventional spreadsheet-based framework, employers and HRs can enjoy accurate monitoring of employee absences as well as be compliant with the state’s leave laws and obligations. And, for the employee leave management system to function effectively, the company must be clear with its leave policies.

Why leave policy is important?

A leave policy outlines the terms and conditions of the leave – the what, when, and how – for the employees to know what benefits they are entitled to with a particular type of leave. A leave policy is a formal document that is to be followed by everyone who is involved with requesting and approving employee leaves.

An online leave management system lets you upload your company’s leave policies on the software for everyone to see, and any changes can be updated centrally without having to communicate them individually. In sync with the leave policy’s terms, the leave management system will accordingly adjust the leave approval requests.

leave management system

Leave Management System Benefits for Employees

How does the leave management system help the employees? Well, HRs today are quite proactive about keeping employees motivated and simplifying admin tasks for them so that they can focus on work and productivity without worry. Given are some of the most common benefits that a leave management system extends to workers:


Centralized leave management systems usually store employee information to auto-fill forms when needed. In this way, employees don’t need to spend valuable time filling out elaborate paperwork whenever they want to apply for a leave. This benefit is especially applicable in case of emergency leaves when the employee doesn’t have a lot of time on their hands to fill out paperwork physically.


An online leave management system offers employees the freedom to file a leave request at any time, from their mobile device or laptop. Employees don’t need to wait for the next working day to begin to schedule an appointment with HR and fill out the leave request form.

A centralized leave management system provides the option to log in to the employee portal and request the type of leave the employee wants.


As leave policies can get uploaded on the centralized employee leave management system, all employees can know the benefits they are entitled to.

There would be no reason for employees to be suspicious of bias or favoritism, unlike earlier when leave requests were approved physically with HRs in a one-on-one meeting. All employee leave requests, approvals, and balances can be viewed by both employees and authorities, giving a clear idea of the leave and attendance patterns.

Leave Management System Benefits for Employers and HRs

The benefits of the leave management system are not lost on any HR department. As we established earlier, leave management is a time-consuming task. Automating the entire process of approving and managing leaves can save a lot of time and effort, eventually, lessening the burden on HRs.

Less paperwork

An online leave management system reduces dull and repetitive tasks by automating the leave request process. It integrates different employee task frameworks and brings all leave requests and approvals on one platform. A paper trail of leave management forms is inconvenient and arduous to manage.

With features like autofill, centralized request updation, automated notifications sent to approving authorities, etc., a leave management system takes care of everything related to employee time-offs.

Real-time reports and updates

A leave management system calculates and updates employee leave balance automatically thereby relieving HRs of manual calculations that might be riddled with errors. Employers can also track the leave history of the employees to determine whether an employee is developing a habit of absenteeism.

Even if an employee requests a leave after office hours, the centralized software still sends out notifications to the concerned authority, ensuring accurate data for payroll calculation. Advanced leave management systems can also provide actionable insights and rich analytics for employers to make appraisal decisions.

Efficient planning

Self-service leave management systems allow employees and employers to see leave balances. By integrating them with calendars, everyone can see the scheduled leaves in advance and plan deadlines, shifts, tours, or more leaves accordingly. No employee has to compensate for the lack of a team member without intimation.

A leave management system enables collaborative planning for both the employees and employers.

Legal compliance

It is important to frame company policies in the most accurate manner to ensure legal compliance. Therefore, when it comes to leaving policies, the leave management system helps to stay compliant by processing leave requests in accordance with the policy outlined by the company.

With accurate reports and correct data regarding employee leaves, HRs can eliminate payment errors and avoid lawsuits and compliance violations.

Leave Management System for HR

Leave Management System: The Solution to HR Woes

All the benefits mentioned above contribute to reflecting your company’s values and your sincerity when it comes to employee satisfaction. Leave management systems to promote open communications about leave practices and build trust between the management and staff. Not to mention, such systems also boost efficiency and eventually, profitability.

Gone are the days when scheduling a leave used to be a week-long process with multiple approvals and elaborate paperwork. This can now be done in a matter of minutes, thanks to online leave management systems that value time and resources.

To know in detail about the features and specifications of an advanced leave management solution, click here.

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