Leave encashment allows employees to convert unused leave balances into monetary compensation. This feature is especially useful at year-end or during offboarding, depending on the company's leave encashment policy.
Key Features:
- Allows configuration of single or two-level approval.
- Can be triggered manually by employees.
- Tracks balances eligible for encashment.
Steps to Enable Leave Encashment:
- Navigate to Leave Settings:
- Go to Control Panel > Settings > Leave Section.
- Enable the Leave Encashment Module:
- Scroll to the Leave Encashment section.
- Enable the toggle to activate this feature.
- Configure Approval Workflow:
- Choose between:
- Single-Level Approval: Either the manager or admin approves.
- Two-Level Approval: Manager first approves > Admin gives final approval.
- Define what status appears after each level (e.g., "Manager Approved", "Fully Approved").
- Choose between:
- Set Additional Rules (Optional):
- Define which leave types are eligible for encashment.
- Add rules for minimum balance required to request encashment.
- Specify the financial year or period in which encashment is allowed.
- Save and Activate:
- Click Update to save your configuration.
Employee Experience:
- Once enabled, eligible employees can go to their Leave Dashboard > Request Encashment.
- The request follows the defined approval flow.
- Upon approval, the leave balance is reduced and payroll can be notified manually or automatically (based on integration).