Module Overview
The DRKDS HRMS Leave module provides comprehensive leave management with India Labour Code 2025 compliance. It supports multiple leave types, accrual rules, multi-level approval, and integration with payroll.
Leave Types
- Earned Leave (EL) / Privilege Leave
- Casual Leave (CL)
- Sick Leave (SL)
- Maternity/Paternity Leave
- Compensatory Off
- Loss of Pay (LOP)
Leave Accrual
- Auto accrual on monthly basis
- Pro-rata for mid-year joiners
- Carryforward rules
- Encashment on separation
Multi-Level Approval
- Configurable approval workflow
- Manager → HR approval chain
- Delegation for approvals
- Auto-approve for short leaves
Leave Balance
- Real-time balance calculation
- Opening balance configuration
- Negative balance control
- Leave advance requests
India Labour Code 2025 Compliance: Earned Leave minimum 1 day per 20 worked, Annual Leave 15 days minimum, Maternity 26 weeks paid, Paternity 15 days (4 weeks proposed).
Leave Types Explained
Earned Leave (EL) / Privilege Leave
| Parameter | Value |
|---|
| Accrual Rate | 1 day per 20 days worked (or 1.25 days/month) |
| Annual Entitlement | 15 days minimum |
| Carryforward | Yes, up to 30 days (configurable) |
| Encashment | Yes, on separation or annually |
| Advance Notice | 7 days recommended |
Casual Leave (CL)
| Parameter | Value |
|---|
| Annual Entitlement | 7-12 days (based on company policy) |
| Carryforward | No (lapses at year end) |
| Encashment | No |
| Maximum at once | 3 days typically |
| Half Day | Allowed |
Sick Leave (SL)
| Parameter | Value |
|---|
| Annual Entitlement | 10-15 days (state-specific) |
| Medical Certificate | Required for 3+ consecutive days |
| Carryforward | Yes, limited (state laws apply) |
| Encashment | No (some states allow) |
Maternity Leave
| Parameter | Value |
|---|
| Entitlement | 26 weeks (for first two children) |
| For 3rd+ child | 12 weeks |
| Pre-delivery | Up to 8 weeks before due date |
| Adopting Mother | 12 weeks (child below 3 months) |
| Payment | Full salary, employer responsibility |
Paternity Leave
| Parameter | Value |
|---|
| Current Entitlement | 15 days (company policy) |
| Proposed (Labour Code) | 4 weeks (28 days) |
| Avail Period | Within 6 months of child birth |
| Payment | Full salary |
Compensatory Off (Comp-Off)
| Parameter | Value |
|---|
| Earned | For working on holiday/weekend |
| Validity | 30-90 days (configurable) |
| Approval | Automatic upon OT approval |
| Carryforward | No (use or lose) |
Loss of Pay (LOP) / Leave Without Pay (LWP)
| Parameter | Value |
|---|
| Entitlement | No limit (approval required) |
| Salary Impact | Per-day deduction from salary |
| Benefits Impact | May affect PF, bonus calculations |
| Approval | Manager + HR required |
Configuration Guide
1. Leave Types Setup
Navigate to: HRMS → Leave → Configuration → Leave Types
- Click "Create" to add new leave type
- Enter Leave Type Name (e.g., "Earned Leave")
- Set Leave Type Code (e.g., "EL")
- Configure Allocation Mode:
- Fixed: Allocated once per year
- Accrual: Monthly/Quarterly accumulation
- Set Default Annual Allocation
- Configure validation rules:
- Allow Negative Balance (Yes/No)
- Minimum days before start
- Maximum consecutive days
- Set Carryforward Rules
- Enable/Disable Encashment
- Save the leave type
2. Leave Accrual Configuration
Navigate to: HRMS → Leave → Configuration → Accrual Plans
| Setting |
Description |
Example |
| Accrual Frequency |
When leaves are credited |
Monthly (1st of month) |
| Accrual Rate |
Days credited per period |
1.25 days/month |
| Pro-rata Calculation |
For mid-period joiners |
Based on working days |
| Waiting Period |
Days before accrual starts |
0 or probation period |
| Maximum Balance |
Cap on accumulation |
30 days |
3. Holiday Calendar Setup
Navigate to: HRMS → Leave → Configuration → Holidays
- Click "Create" to add holiday
- Enter Holiday Name
- Select Date
- Choose Type (Public Holiday / Optional Holiday)
- Assign to specific locations/branches if needed
- Save and repeat for all holidays
Tip: Import holidays from Excel for bulk upload. Download template from Configuration → Import Holidays.
4. Approval Workflow Configuration
| Leave Days |
Approval Level |
| 1-2 days |
Direct Manager only |
| 3-7 days |
Manager → HR |
| 8+ days |
Manager → HR → HOD |
| Maternity/Paternity |
Manager → HR |
Applying for Leave
Employee Leave Application
- Navigate to HRMS → My Leave → Apply Leave
- Select Leave Type from dropdown
- View your current Available Balance
- Select Start Date and End Date
- Choose Half Day option if applicable:
- First Half (Morning)
- Second Half (Afternoon)
- System calculates Number of Days (excludes holidays/weekends)
- Enter Reason for leave
- Upload Attachment if required (medical certificate, etc.)
- Click "Submit"
Important: Leave requests cannot be edited after submission. Cancel and reapply if changes needed.
Checking Leave Balance
Navigate to: HRMS → My Leave → My Leave Balance
| Leave Type |
Allocated |
Taken |
Balance |
| Earned Leave |
15.00 |
5.00 |
10.00 |
| Casual Leave |
12.00 |
3.00 |
9.00 |
| Sick Leave |
10.00 |
0.00 |
10.00 |
Leave Request Status
Draft
→
Submitted
→
Manager Approved
→
HR Approved
→
Confirmed
Leave Approval Process
Manager Approval
- Navigate to HRMS → Leave → Team Leaves
- Filter by "Pending My Approval"
- Click on leave request to view details
- Review:
- Employee name and department
- Leave dates and duration
- Leave type and reason
- Team coverage during absence
- Click "Approve" or "Refuse"
- Add comments if refusing
HR Approval
- Navigate to HRMS → Leave → All Leave Requests
- Filter by "Pending HR Approval"
- Verify leave balance and policy compliance
- Check for overlapping leaves in department
- Click "Approve" or "Refuse"
Bulk Approval
- Go to leave list view
- Select multiple requests using checkboxes
- Click Action → Approve Selected
- Confirm the bulk action
Email Notifications: Employees automatically receive email when leave is approved or refused.
Leave Allocation
Annual Leave Allocation
Navigate to: HRMS → Leave → Leave Allocation
Method 1: Individual Allocation
- Click "Create"
- Select Employee
- Choose Leave Type
- Enter Number of Days
- Set Validity Period (Start and End Date)
- Add reason/notes
- Click "Confirm"
Method 2: Bulk Allocation
- Go to Leave Allocation → Bulk Allocate
- Select Leave Type
- Filter employees by Department/Branch/Grade
- Set allocation amount
- Set validity period
- Click "Generate Allocations"
- Review and confirm
Opening Balance Configuration
For mid-year implementation or carryforward:
- Navigate to HRMS → Leave → Opening Balances
- Download Excel template
- Fill employee-wise opening balances
- Upload completed Excel
- System validates and creates allocations
Automatic Accrual Processing
Scheduled action runs monthly to credit accrued leaves:
| Parameter |
Setting |
| Run Date |
1st of every month |
| Employees Included |
Active, past probation |
| Pro-rata Calculation |
For joiners after 15th |
| Notification |
Email to employee on credit |
Leave Encashment
Encashment Types
Annual Encashment
Encash leaves exceeding carryforward limit at year end.
- Processed in December/March
- Maximum days configurable
- Taxable as per IT rules
Separation Encashment
Encash all earned leaves on resignation/termination.
- Part of Full & Final
- Maximum 300 days (tax exempt)
- Calculated on last drawn basic
Encashment Calculation
Formula: Encashment Amount = (Basic Salary / 30) × Number of Days
Example:
| Component |
Value |
| Basic Salary |
₹30,000 |
| Per Day Rate |
₹30,000 / 30 = ₹1,000 |
| Days to Encash |
10 days |
| Encashment Amount |
₹10,000 |
Processing Encashment Request
- Navigate to HRMS → Leave → Leave Encashment
- Click "Create"
- Select Employee
- Choose Leave Type (must be encashable)
- Enter Number of Days
- System calculates amount
- Submit for approval
- Upon approval, added to payroll
Daily Operations Guide
HR Administrator - Daily Tasks
- Process Leave Requests - Review and approve pending requests
- Check Leave Calendar - Verify team coverage
- Handle Exceptions - Process urgent/emergency leave requests
- Update Balances - Adjust for corrections if any
Manager - Daily Tasks
- Review Team Leaves - Check today's absences
- Approve Requests - Process pending approvals
- Plan Coverage - Arrange backup for absent team members
Monthly Tasks
| Task |
Owner |
Deadline |
| Run Accrual Processing |
System (Auto) |
1st of month |
| Review Leave Utilization Report |
HR Manager |
5th of month |
| Process LOP Deductions |
HR Admin |
Before payroll cutoff |
| Update Holiday Calendar |
HR Admin |
As needed |
Year-End Tasks
| Task |
Owner |
Timeline |
| Run Carryforward Processing |
HR Admin |
Last week of December |
| Process Annual Encashment |
HR Admin |
Before Dec payroll |
| Lapse Unused CL/SL |
System (Auto) |
31st December |
| New Year Allocation |
HR Admin |
1st January |
| Upload Next Year Holidays |
HR Admin |
December |
Case Studies
Case Study 1: IT Company - 500 Employees
Challenge: Managing leaves across multiple projects with different billing cycles.
Solution:
- Configured project-wise leave calendar
- Enabled manager approval with project lead notification
- Set up client-specific holiday integration
- Implemented leave freeze during critical releases
Result: 90% reduction in leave conflicts, improved project planning
Case Study 2: Manufacturing Unit - 1000+ Workers
Challenge: Different leave policies for staff vs workers, union agreements.
Solution:
- Created separate leave types for Staff and Workers
- Configured state-specific Factories Act compliance
- Set up department-wise leave quota restrictions
- Integrated with attendance for auto-LOP marking
Result: Full compliance with labor laws, zero disputes
Case Study 3: Healthcare - 24x7 Operations
Challenge: Critical staffing requirements, emergency leave handling.
Solution:
- Implemented minimum staffing validation before approval
- Set up emergency leave category with SMS alerts
- Configured on-call duty integration with leave
- Enabled swap feature for shift-based leaves
Result: Zero understaffing incidents, improved employee satisfaction
Reports & Analytics
Available Reports
| Report Name |
Description |
Access |
| Leave Balance Report |
Current balance for all employees |
Manager, HR |
| Leave Utilization Report |
Leaves taken vs allocated |
HR, Management |
| Absence Calendar |
Visual calendar of all leaves |
Manager, HR |
| Leave History Report |
Complete leave history by employee |
HR |
| LOP Report |
Loss of pay days for payroll |
HR, Finance |
| Carryforward Report |
Year-end carryforward details |
HR |
Troubleshooting
Problem: Leave balance showing incorrect
Solution: Check allocation records, verify accrual job ran, check if leaves were cancelled properly.
Problem: Cannot apply for leave - "Insufficient balance"
Solution: Verify leave type allows negative balance, check if allocation exists, verify validity dates.
Problem: Accrual not crediting leaves
Solution: Check scheduled action is active, verify employee is past probation, check accrual plan configuration.
Problem: Leave request stuck in approval
Solution: Verify approver is assigned, check workflow configuration, approver may be on leave.