This article will provide the steps to take when changing a holiday year-end in the HR module of Workforce Management (WFM).
The recommended way to do this is to create an extended holiday year. The system can only manage 12 months of holiday accruals, therefore a shortened holiday year is not an option.
Before extending the holiday year it is necessary to capture employees' days accrued but not yet taken, and add these into the new holiday year. This is sometimes referred to as 'carrying over' holidays.
Important: Changes to the system should not be made until after the date that the new holiday year will begin.
Preparing to Change the Holiday Year
Making changes to the holiday year will impact employee holiday records, possibly causing questions to be raised. Best practice is to inform employees and liaise with your HR department before making any changes.
To complete this change, access to the following areas is required:
- HR > Global Settings
- HR > Company Admin > Location
- HR > Reports > Holiday Year to Date
Ensure the following global setting is enabled to allow for the carryover of holidays:
- Go to HR module > Administration > Global Settings > Edit default Holiday Settings > Holiday Calculations
- Tick the box against Enable carry forward holidays and then Save
Fig.1 - 'Enable carry forward holidays' global setting
Timing of the Holiday Year-End Change - Checklist
The timing of when to make changes in the system is dependent on the dates being moved from and to.
The 'Holiday Year – Timings and Checklist' can be used to help understand the new holiday year and when the optimal time is to make the change.
Fig.2 below shows an example of changing from a Jan-Dec to an Apr-Mar holiday year.
- Download the checklist from the bottom of this article and open it
- Go to the Holiday Year Timing Guide sheet
- Set the current Year
- Enter Start and End Dates for the Current Holiday Year and New Holiday Year
The coloured bars beneath will update automatically based on the dates entered:
- Current Holiday Year (Orange) - as per the dates entered.
- New Holiday Year (Green) - as per the dates entered.
- Extended Holiday Year (Grey) – shows the total holiday period from the beginning of the current holiday year to the end of the new holiday year.
- Make Changes (Blue)– this shows the recommended time to make thechange.
Fig.2 - Holiday Year Timing Guide
Holiday Year Change Examples
Below are examples of some overlapping holiday years and when the best time is to make the change.
- Changing from April–March to January-December? Make the change between January-March
- Changing from January-December to July-June? Make the change between July-December
- Changing from January-December to October-September? Make the change between October-December
Calculating the Number of Holiday Days to be Carried Over
The Holiday Year to Date Report can be used to calculate the number of days each employee needs to have carried over into the new holiday year. The report captures the days accrued between the start of the existing holiday year and the start of the new one.
Important Point: Carried over holidays do not feature in the Holiday Year to Date Report. They only appear in customised reports.
To run the Holiday Year to Date Report:
- Go to HR > Reports > View Reports and select Holiday – Year To Date
- Use the Report Output Format drop-down and select Text File
- Choose a Location and Division if necessary, or just leave as All for both
- Select Holiday Date – this will be the end date of the current holiday year; the day before the new one starts
- Then select Run Report
Fig.3 - Running the Holiday Year to Date Report
Opening the report in Microsoft Excel will show the following:
- Column I: Time Taken (in days)
- Column Y: Time Accrued (in days)
- Deduct the days taken from the days accrued to determine how many days need to be added to each employee's entitlement
Holiday Calculation Examples
Current Holiday Year: 1st January 2020 – 31st December 2020
Proposed Holiday Year: 1st February 2020 – 31st January 2021
The difference is 1 month.
Holiday accrued and taken needs to be calculated for 1st – 31st January 2020.
To do so, the Holiday Year to Date Report would be run from 31st January 2020.
Current Holiday Year: 1st January 2020 – 31st December 2020
Proposed Holiday Year: 1st December 2020 – 30th November 2021
The difference is 1 full year + 11 months.
Holiday accrued and taken need to be calculated for 1st Jan – 30th Nov 2020.
To do so, the Holiday Year to Date Report would be run from 30th Nov 2020.
Changing the Holiday Year End Date
Before carrying over holiday, the next step is to update the setting that changes the holiday year-end date.
Changing the date takes effect immediately, meaning that all employees’ holiday allowances will be based on the new holiday year.
Ensure that the necessary reports have been run and holiday data captured before changing the holiday year-end date.
The Global Setting will change the holiday year-end for all Locations.
- Go to HR > Administration > Global Settings > Edit Default Holiday Settings
- Select Holiday Year End > Edit Holiday Year End
- Enter the new Holiday Year End Date and select Save
If a Location’s holiday year has been manually changed in the past, changing the Global Setting will not affect it.
If in any doubt, check the Holiday Year End of all Locations.
- Go to Company Admin > Locations> select Location > Edit Holiday Settings
- Update any Location-specific holiday year-end dates as required
Loading Holiday Adjustments
Carrying Over Holiday
- Follow the guidance in this article - WFM HR: Carrying Over Holidays - and then continue following the steps below
For casual employees, holiday uploads are not required as the casual employment type does not have a holiday year applied.
Deducting Overtaken Holiday
Some employees may have taken more days than they had accrued during the now-previous holiday year. Therefore the relevant hours or days will need to be deducted from their allowance.
- Create and approve a holiday request for the employee in question, for the required number of days. This can be from any time during the previous holiday year when a rota was submitted
- See WFM: Reopening Sites Holidays for further guidance
Alternatively, this can be done by Fourth via a chargeable upload.
For further information please see WFM HR: Data Uploads: Full Time, Part Time, and Flexible Holiday Upload
Each data load is chargeable and must be booked in with Fourth's Data Team. Please speak to your Fourth Contact to request this.