Leave Types
Leave Types in CloudHR define different categories of leave employees can take, such as casual leave, sick leave, or special leave.
Each Leave Type can have rules around balance limits, approval workflow, encashment, and allocation frequency.
What is a Leave Type?
A Leave Type represents a specific kind of leave available to employees.
It allows you to:
- Define maximum balances
- Control eligibility and accrual
- Configure approval workflows
- Allow encashment or special rules
- Manage allocation and increment policies
How to Create a Leave Type
- Log in to CloudHR.
- Navigate to Leaves and Overtimes.
- Click Leave Types
- Click Add Leave Type.
- Enter leave type details.
- Configure balances, increments, and approval rules.
- Click Save.
Required Fields
| Field | Description |
|---|---|
| Name | Must be unique |
| Code | Unique identifier |
| Status | Active or Inactive |
| Allocation Period | Frequency of leave allocation (Monthly, Quarterly, Half-Yearly, Yearly) |
Optional Fields
| Field | Description |
|---|---|
| Days | Number of days allocated for this leave type |
| Max Balance | Maximum balance cap a user can have for this leave type |
| Max Consecutive Leaves | Maximum consecutive days allowed for this leave type |
| Is Paid | Whether the leave is paid |
| Is Sick | Marks the leave type as a sick leave |
| Allow Leave on Probation | If users on probation can take this leave |
| Allow Variable Leave Tenure Based | Enables dynamic leave allocation based on tenure |
| Variable Leaves | JSON defining tenure-based leave |
| Is Sandwich | Enables sandwich leave rules |
| Required Approval | Whether approval is required to take this leave |
| Approval Strategy | Defines approval type: all, level, or count |
| Approval Chain | List of approvers (reporting managers, manager role users, or department heads) |
| Final Approval Level | Optional final level for approval |
| Encashment Allowed | If leave can be encashed |
| Automatic Encash | If leave is automatically encashed |
| Encash Percentage | Percentage eligible for encashment |
| Allowed in Notice Period | Whether leave is allowed during notice period |
| Year End Process | How leave is handled at year-end |
| Carry Forward Percentage | Percentage of unused leave that can be carried forward |
| Increment Amount | Increment added per allocation period |
| Increment Frequency | Frequency of increment (Monthly, Quarterly, Half-Yearly, Yearly) |
| Max Increment | Maximum leave increment allowed, even after multiple years |
Special Configuration Flags
Some Leave Type behaviors directly affect how leave is calculated and validated when employees apply.
| Field | Behavior |
|---|---|
| Is Sandwich | If enabled, holidays or weekly offs between two leave dates are counted as leave days |
| Allow Leave on Probation | If disabled, employees on probation cannot apply for this leave type |
| Allowed in Notice Period | If disabled, employees serving notice period cannot apply for this leave type |
These rules are automatically enforced when applying for leave.
Approval Strategy Explained
Approval Strategy defines how leave requests are approved:
- all: Approval required from all assigned approvers individually.
- level: Approval from a specific level or role only.
- count: Approval from a set number of approvers (e.g., 2 approvals needed).
Note: If an Admin or HR approves the request, the approval overrides all strategies and the leave is automatically approved.
Approval Chain can include:
- Reporting managers (assigned individually)
- Managers (by role)
- Department Head
Important Rules
- Leave Type Name and Code must be unique.
- Maximum balance (
max_balance) caps how many days a user can hold for this leave type. - Increment rules (
increment_amount,increment_frequency,max_increment) define yearly or periodic leave growth, capped bymax_increment. - Approval settings must be configured if
required_approvalis enabled. - Encashment settings only apply if
encashment_allowedis true.
Sandwich Leave Rule Explained
If Is Sandwich is enabled:
- Any weekly off or holiday
- That falls between two applied leave dates
- Will also be counted as leave.
Example
If an employee applies leave for:
- Friday
- Monday
And Saturday & Sunday are weekly offs,
Total leave counted = 4 days
(Friday, Saturday, Sunday, Monday)
If Is Sandwich is disabled:
- Only the actual applied leave dates are counted.
- Holidays and weekly offs in between are ignored.
Sandwich behavior is controlled per Leave Type.
Best Practices
- Use descriptive names for leave types (e.g., Casual Leave, Sick Leave, Maternity Leave).
- Configure approval chain carefully to reflect reporting structure.
- Set realistic max balance and increment limits.
- Regularly review allocation and carry-forward rules to comply with company policies.