Set up Year of service (YOS) in a Time off policy

It's all in the details, and when it comes to setting up Time off (TO) policies, sometimes the smallest of features can produce the biggest of smiles. As an admin, you have the power to define an employee’s annual increase of Years of service (YOS) allowance, as well as the exact date in which it takes effect.

By default, this allowance update is set at the start of a pay cycle, which may not sync with an employee’s work anniversary. This is why the Allowance update timing parameter is so useful, as it enables you to choose when to set the allowance increase, including matching the exact date of an employee’s work anniversary with the employee’s YOS policy.

Before you begin

Make sure that your company Time off policies have been set up, which can be done here: Complete guide to Time-Off.

How to set up YOS in a Time off policy and sync it with an employee’s work anniversary

Note: To update an existing YOS policy, skip to the section below.

Now that TO policies have been created, admins have the ability to jump inside and manage each TO Policy’s YOS, meaning you can click each individual policy and set an increase in the annual allowance and the timing of the increase — all within a matter of minutes!

The Allowance Page

  1. From the left menu, select Settings > Time Off.
  2. Click the Policies tab and select a policy e.g., UK Holiday. A summary of the policy is displayed.
  3. To configure YOS allowance increases in the current TO policy, select Actions > Edit.
  4. Scroll to the bottom of the Details and Cycle sections, and click Next.
  5. In the Allowance section under Years of service, enable Grant time off based on years of service.- Seniority (years): Amount of time, counted in years, that elapsed from the initial employment date, e.g., typing in “2” indicates two years.- Extra hours: Amount of hours granted to an employee after the seniority has elapsed.- Click +Add rule: Add an additional rule for seniority and extra days earned.| Note: These rules are cumulative, and will display the total allowance after each added rule e.g., If the employee receives two more days to their annual allowance after two years, an additional rule can be set so the employee will get an extra four days after three years.
  6. In the Allowance update sub section, choose when the allowance will be given Based on the cycle start date: YOS allowance will begin either the cycle following the anniversary, preceding the anniversary, or on the anniversary.
  7. Click Next for the rest of the sections.
  8. In the Summary section, click Done.The YOS changes will be saved! Note - If annual cycle has been pre-set by anniversary date, this feature will not be shown as an option.

How to update a YOS policy and sync it with the work anniversary of a current employee

If a YOS allowance for a policy has already been set up and employees have already been assigned to these policies, we do not recommend changing the YOS allowance from the previous option. Instead, duplicate the policy and reassign employees to the new policy. 

Step 1 - Create the duplicate policy

  1. From the left menu, select Settings > Time Off.
  2. Click the Policies tab and select a policy e.g., UK Holiday. A summary of the policy is displayed.
  3. To duplicate the policy, select Actions > Duplicate.The title of the policy will appear with the word “copy,” e.g., Holiday UK - (copy).
  4. Scroll to the bottom of the Details and Cycle sections, and click Next.
  5. In the Allowance section under Years of service, enable Grant time off based on years of service.- Seniority (years): Fill in the same data from the original policy. - Extra hours: Fill in the same data from the original policy. - Click on +Add rule: Fill in the same data from the original policy.
  6. In the Allowance update section, choose On anniversary.
  7. Click Next for the rest of the sections.
  8. In the Summary section, click Done. Great! A new duplicate policy with updated YOS settings has been saved!

Step 2 - Assign the updated policy to employees

Once, the new duplicate policy has been created, it is very straightforward to assign employees to the new policy:

  1. From the left menu, select Time > People’s time Off.
  2. Select an employee whose policy allowance update parameter was updated.

    Note: To assign the updated policy to multiple employees at the same time, check the boxes next to the names of all the employees you wish to include in the updated policy.

  3. On the employee’s People’s Time Off page, select Actions > Assign Policy. 
  4. Select the relevant policy and select in the Effective Date drop-down, select Start of This Cycle.
  5. Click Apply. Note: If you would like to avoid any possible confusion, it is highly recommended to and rename your old policy e.g., Old/Voided Policy.

FAQs

If a balance adjustment is needed, how do I update an employee’s current balance?

There should be no additional adjustments once you set the employees to the new policy from the current cycle but in the instance that a YOS allowance increase was not synced with an employee’s work anniversary, then a manual adjustment can be performed to correct the balance.

See Using actions for Time off activity log for instructions on how to perform a quick manual adjustment.

How will a YOS Allowance increase appear in the Balance activity log (audit)?

When all changes, updates and adjustments have been made to the YOS allowance increase in an employee’s TO policy, a summary can be found in the Time off balance activity log (Time off audit).

It’s important to note that when the YOS increase takes effect on the date of an employee’s work anniversary, the increase is prorated (shown in the audit) and not the whole increase is given upon anniversary.

Example

wAAd7XOBNNu2lrSDHEgQGr3qaGbBaYca6X7y_B8nD_Ok-_8S1r4XcNrdUbhXrzFuWQ4_HftWlxuBlbxuIYWvAnSCw_AGriIfYXqzMi5au7HUghEd-j5pVUNCSFqLpUqQTtPJ45aA

In the example above, the employee is assigned to an annual cycle.

Since the employee’s anniversary date is on September 16th, the YOS increase will add a prorated amount of the whole increase (in this case 0.875 days of the 3 days of total increase) for the remaining days of the current annual cycle (16/09/2021 - 31/12/2021). The remaining increase (3 day - 0.875 days = 2.125 days) will be given in the next cycle (that is 01/01/2022).