Tips for employers to manage holiday leave headaches this silly season

Despite Christmas coming at the same time every year, employers still continue to manage last-minute leave changes or applications for new leave well into December.

But the question remains – to approve or not to approve?

I’ve compiled a list of the frequent pressure points for employers managing their employees’ leave requests and how they can approach them.

How are public holiday entitlements calculated differently for full-time, part-time and casual staff?

Understanding the nuances of public holiday entitlements for full-time, part-time, and casual staff over Christmas is a crucial element for employers, especially if they want to maintain operational efficiency.

Both permanent and casual employees are typically eligible for additional penalty rates when working on a public holiday, varying based on the applicable award.

Employers should carefully check their award for the appropriate penalty rates, ensuring that they check for casual employees whether casual loading is included in the public holiday penalty rate or needs to be paid separately. Employers should also be aware that some awards have higher penalty rates payable for specific public holidays.

For permanent employees absent on a public holiday, payment for ordinary hours is standard, but it hinges on whether they would have worked on that day if not for the public holiday. This entitlement supersedes annual leave, emphasising that annual leave cannot be taken on a public holiday, and payment is due for the absence. Notably, taking unpaid leave around a public holiday may impact payment eligibility, necessitating consideration by employers. Casual employees, however, are not entitled to payment for public holiday absences.

How can employers manage conflicting annual leave requests?

During this time of year, employers are usually faced with the dilemma of managing conflicting annual leave requests. To avoid challenges with juggling leave requests, employers should encourage their teams to apply for their leave as soon as they have finalised their holiday plans. However, it’s important to remember that last-minute requests may occur, and employers should assess these requests in line with existing policies and staffing needs. If the leave request cannot be accommodated, employers can decline them on reasonable business grounds.

How can SMEs develop staffing strategies for shutdown periods?

Annual company-wide shutdown periods can be a common occurrence for many businesses, so employees should be notified of business closure dates as soon as possible so they can plan their end-of-year holidays accordingly.

For businesses that will continue operating throughout the holiday season, businesses should start by reviewing which activities must continue through the holiday period and which, if any, can be delayed until the new year. This will allow businesses to determine how many employees, and more specifically which roles, are needed to keep the lights on.

If a shutdown notice is missed, employers can discuss the situation with employees, exploring options such as paid or unpaid leave. Reducing the hours of casual employees, if feasible, is another strategy. In cases where permanent employees do not agree to take leave and the employer cannot direct them, payment must continue during closure periods if the employees are ready, willing, and able to work.

Alternatively, assigning administrative or routine tasks consistent with the employment contract is a viable option. For businesses not completely shutting down, employers should identify essential functions and may consider engaging casual employees to cover gaps created by permanent employees on annual leave.

Ryan Price is the head of content and training at Employsure.