A leave policy is the document that sets out a company's rules for time off. It defines how much leave employees are entitled to, which types of leave exist — annual, sick, parental, unpaid, and others — how entitlement accrues, how requests are submitted and approved, and what happens to unused days at the end of the year.

A good leave policy balances legal compliance with clarity. It must meet statutory minimums in every country the company operates in, while being simple enough that employees understand their entitlements and managers apply them consistently. It should also cover edge cases: carry-over, notice periods, blackout dates, and leave on termination.

Once written, a policy only works if it is applied consistently. Encoding the rules into Calamari's leave policy automation turns the document into automatic accruals, approval routes, and limits — so the policy is enforced the same way for everyone.