What is Sabbatical Leave? Meaning, rules and policy in India

In today's fast-paced work environment, offering ample employee leave is key to maintaining work-life balance. Forward-thinking employers in India are now embracing a progressive approach by including sabbatical leave into their policies, empowering employees to pursue personal interests, rejuvenate, and upskill. This can support employee well-being and growth while building trust, and improving retention, all of which drive business success.

This article elaborates on every detail that you need to know about sabbatical leave as an employer. Learn its meaning, importance, and how to frame a sabbatical leave policy for your company.

Sabbatical leave meaning

Sabbatical leave is a type of extended leave granted by employers to allow employees to take a long break from work. During this time, employees can pursue personal interests or activities while temporarily stepping away from their job responsibilities. However, taking a sabbatical does not end the employment relationship. On the contrary, it helps employers to support their employees' needs while retaining talent for the long term.

The term "sabbatical" originates from the word "sabbath," which means "rest."

Recognizing that employees may need time to recharge or enhance their skills, many employers include provisions for sabbaticals in their organisational leave policies and human resource practices.

Sabbatical leave policy in India

Indian labour laws do not mandate sabbatical leave, but many progressive organizations offer it to boost employee morale. In companies that do provide this leave, employees are typically required to submit requests well in advance, often several months prior, to ensure smooth business operations.

Company leave policies specify how far in advance employees must apply, with many requiring applications at least three months before the leave date. This lead time allows employers to arrange suitable replacements for the employee on sabbatical.

Who is eligible for sabbatical leave in India?

Employers in India may set the following criteria for granting sabbatical leave:

1. Sabbaticals are typically offered to full-time employees, not part-time staff.
2. Employment tenure is a crucial criterion, with many Indian employers requiring at least one year of continuous service before granting a sabbatical
3. Job performance also plays a key role in deciding eligibility for sabbaticals. Employees who reach specific career milestones are usually considered for this leave.
4. If an employee is terminated, the sabbatical policy no longer applies.

Reasons for which sabbatical leave can be taken

As an employer, you can offer sabbaticals to eligible employees for various reasons, such as upskilling, pursuing a degree, personal well-being, travel, or spending more time with family.

It is also common for employees to take sabbaticals to care for toddlers and balance personal and professional responsibilities. Providing sabbaticals helps retain skilled and experienced employees by ensuring job security during extended leave.

How long is a sabbatical leave?

The duration of a sabbatical from work varies from one organisation to another, based on their leave policies. Generally, employers grant sabbaticals for a period of 6 months to one year.

Certain organisations allow four weeks of sabbaticals to employees with 5 years of service and five weeks of sabbaticals to employees serving at least 10 years.

Is sabbatical leave paid or unpaid?

Sabbaticals provided by employers can either be paid or unpaid. Some pay full salaries to employees while others deduct a certain percentage from the employee’s salary. This decision depends on the organisation's budget and the sabbatical's length.

The approach to pay may also vary based on the reason for the sabbatical. For instance, if an employee plans to use the sabbatical to pursue a master’s degree, the employer might view this as an investment in the employee’s development and choose to cover their expenses.

Importance of sabbatical leave for employers

Employers can reap multiple benefits by granting a sabbatical leave to employees. Some of these benefits are:

• Increased employee well-being

Employees who return from a sabbatical often bring a positive influence to their colleagues. They are likely to be more committed to their roles, leading to increased productivity and overall organisational performance.

• Succession planning

While an employee is on sabbatical, employers must find temporary replacements, creating opportunities for other employees to step up. This approach not only helps in succession planning but also boosts employee satisfaction through promotion opportunities. 

Additionally, it allows employers to incorporate fresh perspectives and ideas from other employees during the sabbatical period.

• Employer brand

Employers can increase their brand value among candidates besides existing employees by including sabbaticals. It indicates the employer’s values the personal interests of their employee, thereby making it a perk in the talent hunt.

Things to consider while framing a sabbatical leave policy

1. Years of service

Employers typically grant sabbaticals to senior and long-serving employees as a reward for their loyalty. Deciding on the required years of service for eligibility is a crucial factor in developing sabbatical policies. You may choose to provide this leave to employees with at least 1 year of continuous service at the organisation.

2. Maximum tenure of sabbatical permitted

It is necessary to determine how long your organisation can sustain without a particular employee. Ensure you choose a period which is mutually beneficial for your organisation as well as the employee.

3. Purpose of sabbatical

Employers should clearly define the purposes for granting sabbaticals. Some offer sabbaticals for professional development, while others allow them to help employees fulfil personal interests.

4. Paid or unpaid

Sabbaticals can be paid as well as unpaid. Employers need to understand the pros and cons of both paid and unpaid sabbaticals before determining their leave policy.

5. Required notice

Sabbatical leave grants require employee replacements and handover of duties and responsibilities to other employees. As a result, it is essential to develop policies specifying the notice that employees should adhere to. 
Usually, employers need 2-3 months' notice before approving sabbaticals. However, a more stringent policy may demand a longer notice ranging from 4 months to 7 months. 

6. Employment agreement post-sabbatical

As an employer, you may choose to add post-sabbatical criteria. For instance, you may mandate continuous service with your organisation for a specific tenure after employees return from sabbatical. This helps employers utilise upskilled employees to increase productivity. 

7. Pensions and other monetary benefits

Employers may frame policies that restrict benefits like pensions and company-provided medical insurance during sabbaticals. However, you can choose to continue offering these benefits depending on the company's profits.
Ensure your leave policies mention the necessary criteria as a measure of clarity for employees. It can be used as a reference to avoid any communication gaps in the future.

To sum up, sabbaticals benefit both employees and employers. If you are an employer, you design a leave policy with sabbaticals and enhance your employer brand, boost employee retention, and build your dream team.

Frequently asked questions on sabbatical leave