Best-Practice: Finland - Accrual Policies

  • 21 April 2021
  • 2 replies
  • 92 views

Userlevel 2
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  • Personio Implementation Manager
  • 4 replies

In contrast to many other European countries where vacation days are accrued from January to December each year, in Finland vacation days are calculated on the basis of the ‘holiday credit year’ which is  from April 1st to March 31st the following year.

Employees who have been with their employer for less than a year on March 31st are entitled to 2 days holidays for each full holiday credit month. Those who have been with their employer for more than a year however are entitled to 2,5 days of holidays for each full holiday credit month.

Besides that, if an employee joins a company on April 1st or the first working day in April, the employee receives 2,5 days of holidays per holiday credit month right away during his/her first employment year. 

The best way to reflect these regulations in Personio is by creating 2 different monthly accrual policies:

  1. 2 days per month assigned since hire date
  2. 2,5 days per month assigned in March for the next entitlement period (which is April)

If an employee starts in April (as described above), please directly assign 2,5 days per month since hire date. 

If you want, another option would be to create an additional accrual policy with the yearly amount of paid vacations (e.g. 30 days) which you can assign to your employees who have been with the company over a year. This way these employees can directly access their full annual entitlement.

Please let us know if you have other suggestions to best reflect these Finnish regulations. We’d love to hear your thoughts on this and how you have tailored Personio to your needs. 


 

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2 replies

Badge +4

Hi, 

I’m happy to see that you are working on the regulations of Finnish vacation accrual policies. They are a bit tricky indeed. One addition to the above: If a person has had the 2,5 days/month, they have 30 days vacation/year. Usually, this means 5 weeks of vacation, as Saturdays are counted as vacation days as well in Finland. 

When we were doing Personio implementation, we noticed that Personio doesn’t understand that every 6th day is “a Saturday”. We now decided to not use the accrual policies because of this and instead manually import 25 days (Mon - Fri) before 1 April each year. It only understood Saturdays if you included Saturdays in your vacation period. But if someone would take several shorter vacations (e.g. Mon - Fri + Mon - Thu), it wouldn’t understand the count.

But if you can solve the “Saturday rule” as well, we might be getting somewhere and more companies that strictly follow the normal vacation rules could use Personio as well.

Edda

Userlevel 3
Badge +6

Hi @Edda van der Ende 
Thank you very much for your input on this important topic. This is very valuable for the community! We will take your feedback into consideration. 

It would be also interesting to hear your ideas if you think this is a feature that Personio needs! We have a dedicated Ideation Area for the feedback and ideas of our customers. Over there you can:

  • View previously submitted ideas and discuss them with other Personio users

  • Upvote and comment the ideas of other users

  • Search the community for similar ideas or requests

  • Share your own ideas or suggestions about our tool

Together with our product development team, we will review your ideas, comment on them, and possibly include them in our planning for the further development of Personio.

Let us know if you have any further feedback!

Kindest Regards, 

 

Maria Laura

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