How annual leave entitlement is pro-rated in HRLocker
If your employee has a start date that is after the office leave year start date, or if they leave before the annual leave year end date, then their HRLocker annual leave entitlement will be adjusted to give them their Pro-rated entitlement
The best way to explain this is with an example
Assuming an employee has been allocated a standard annual leave entitlement of 20 days
Assuming the annual leave year runs from 1st of January to 31st of December,
Assuming The employee has worked from 1st of January and their last day of employment is 31st of October 2024
- Determine your total annual leave entitlement. For this example, it is 20 days per year. (In HRLocker, the annual leave entitlement should be entered for a full year even if the employee will not be employed for the full year)
- Calculate the number of days you have worked including any holidays you have taken. From January 1st to October 31st 2024 is 212 days. There are 253 working days in 2024 in Ireland, so the employee will have worked 84% of the working year
- (HRLocker works this out individually based on the number of actual working days for each employee for that employee's assigned working pattern)
- Multiply your total annual leave entitlement by the proportion of the year worked: 20 days * .84 = 16.8 days.
- 16.8 days gets rounded upwards to the next half-day in favour of the employee and their entitlement will be shown as 17 days
The same steps apply if someone starts their employment after the start date of the annual leave year.
HRLocker will automatically pro-rate employee's leave based on their start date and end date of employment once these are added correctly to the system
Employees on accrued annual leave do not need to pro-rate any of their leave as they only accrue leave as it is worked in arrears.
A good third party resource for calculating business days is here
https://www.timeanddate.com/date/workdays.html