Leave sharing programs

Any of you folks have any experience with leave sharing programs? I've been asked to look into such a scheme and would like some guidance on where to start. The one thing that jumps out at me immediately is the disparity between wage rates if a high-paid person contributes leave to a low-paid person, or vice-versa.

What other pitfalls should I be looking for?


Comments

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  • We have a vacation donation program. It is not my job to administer and my understanding is that it is a royal pain in the (!) and most of our HR folks would like it dropped, but the powers that be disagree...

    In simple terms, the way it works is that an employee alerts HR that they have a need for vacation donations. There is a form and the reasons have to be good. Examples: serious/terminal illness (if they stay employed even with vacation donations, they can retain health benefits til death); an employee whose son was kidnapped and needed time for search activities and coping; we also offer vacation donations to those returning from military service.

    Re pitfalls to watch out for - we have had problems in the past with putting out too much information on serious physical conditions. With the change in the HIPAA law, that is out. We put a notice on our intranet home page that says employees have requested vacation donations if anyone would like to donate - no further info.

    Re our procedure - simplified. An employee can donate time in 8-hour increments. (We have discussed making it 4-hr increments to address 8hr vs 12hr shifts.) It is used by the requester after all of their leave banks have been exhausted, and in the order the donations were made. The time is not transferred from the donor's bank until it is used, and if all the time donated is not used by the requester for the stated reason, the time remains in the leave banks of the donors. At no time does it become an extra "vacation" bank for the requesting employee. We also don't deal with wage rate disparity. The one who donates it loses it at their wage rate and the one who receives it receives it at their wage rate.
  • HRLass gave you a good start on some issues.

    Additional information:

    We do pro-rate for wage differential and only allow vacation time to be contributed.

    We require a written request to the Exec Dir. It is up to the E.D.s dicretion to grant the time. This stops some of the more frivolous requests from hitting the HR desk (we had one lady ask for donations to cover her honeymoon - used up all of her available time on other vacations). Most of our requests center around a medically generated reason.

    Do not allow the EEs making the request to directly solicit time donations from EEs. Lots of EEs are uncomfortable saying no directly to another EE. We have an innocuous email come out from the E.D. basically indicating an approved donation request and to contact HR if you wish to donate. Usually, the EE has gotten the word out and donations are not a problem.

    It is difficult to keep this from looking like a popularity contest. This has the effect of the less popular EEs only receiving donations from direct supervisors, management and the HR department. Our EEs are generally very giving in this regard so this has not been a huge problem, but I can see the potential for discrimination issues in the event a Title VII protected EE does not receive donations.

    Document the donations on a time sheet or memo so you have a record.

    OK, enough for now. Good luck with this.
  • Thanks, Marc and HRLass. Lots of food for thought here. As a one-deep HR dept. I have to tell you I'm reluctant to take this on with my current workload. However, I am going to discuss botht he pros and cons when we meet to revisit the issue next week.

    Again, thanks for all your help. You guys are great. x:-)
  • We allow it and base it on the donatee's hourly rate. So if a highly comped donated leave, say 50 hours, it would be 50 hours worth based on the donatee's hourly rate, not the donator's hourly rate. We only allow donation of leave for serious illness/hospitalization or personal crisis (ie. house burned down, death of immediate family if time needed beyond bereavement schedule, etc)
  • dchr - do you still charge the donor the 50 hours? If so, the company is making money on the deal, which is not the intent in our shop.
  • [font size="1" color="#FF0000"]LAST EDITED ON 06-17-05 AT 11:22AM (CST)[/font][br][br]No, the donor's account is not charged for the full leave donation, but reduced by the hours equal to the donee's hrly rate times 50 hours. For example, highly comped makes $100/hr and wants to donate 50 hours of leave. Donatee's rate is $25/hr. $25 x 50 hrs = $1250. Therefore, donator's leave account reduced by 12.5 hours. The company does not, nor intends to make money on the deal.
  • Para,

    If you Google the words Leave Banks or Shared Leave Programs, you will get a plethora of established policies and ideas to consider. Most are from state governments and universties -- went through the same drill myself last year.

    Geno, SPHR
  • Me, too, three years ago or so. There is also some good information in the SHRM white papers section.
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