BL Premium reports that as lockdown restrictions ease and companies prepare to swing back into action, too many employees are sitting on a growing pile of unused holiday, and that’s becoming a headache for many businesses.  

Melanie Trollip of Willis Towers Watson’s SA branch indicated:  "The risk is that everyone wants to take time off once the crisis has eased and the economy is starting to recover.  That could create a lot of disruption and bottlenecks, just when staff are needed the most."  A survey by the consultancy showed that because so little leave was taken due to the lockdown, companies were now faced with the challenge of deciding how to manage requests for leave, as well as the accumulation of unused leave.  While the buying back of leave means added expenditure for companies, unused leave sitting on corporate balance sheets is an unwanted liability.  "Some businesses have offered to buy holiday days back from staff, but that may be difficult for many in the current economic climate," said Trollip.  She went on to report:  "Many businesses are being less flexible — they are setting dates when holidays must be taken or are running a ‘use it or lose it’ approach."  Some 52% of companies surveyed would allow employees to carry forward unused annual leave into the next financial year.  Nearly a third were unsure what approach they would take.  Twelve percent said that any unused leave would be lost, while only 6% said they would buy back unused leave from staff.

• Read the full original of the report in the above regard by Warren Thompson at BusinessLive (paywall access only)

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