For many small businesses, summer is a welcome boost in morale — but it can also bring major headaches when it comes to managing annual leave.
With the summer holiday season fast approaching, now is the time for employers to get on the front foot. Last-minute leave requests, overlapping holidays, and skeleton staff levels can all cause avoidable disruption if not managed proactively.
Here’s how small business owners and managers can prepare without creating unnecessary admin or awkward conversations.
1. Encourage Early Booking
Make it clear to your team that annual leave should be booked as early as possible, especially for popular periods like school holidays. A simple email reminder now can help reduce the risk of clashes and ensure you’re not left short-staffed at a critical time.
If you haven’t already, consider adding a gentle nudge into your regular team comms, or even a shared holiday calendar to improve visibility and planning.
2. You Can Say No – But Be Fair
Employees have a legal right to take their statutory annual leave, but employers also have the right to decline specific dates based on genuine business needs. The key is to be consistent, reasonable, and communicate clearly.
If you have to turn down a request, explain the reason and, where possible, suggest an alternative. Document the conversation so there’s a clear record.
3. Set Expectations and Stick to Them
Whether it’s a “first come, first served” system or a rota for peak periods, having a clear internal process helps to avoid misunderstandings. Make sure your team knows how and when to request leave, and be upfront about any blackout dates where time off isn’t possible.
In small teams, one person’s absence can have a big impact. A bit of planning now helps keep everything running smoothly — and keeps your customers happy too.
4. Plan for Cover
Don’t wait until the week before someone’s holiday to think about cover. Whether it’s delegating tasks, adjusting deadlines, or bringing in temporary support, building in some buffer is key.
Encourage team members to leave clear handover notes and set up out-of-office replies that direct queries appropriately.
5. Balance Business and Wellbeing
It’s easy to focus solely on business continuity, but remember: rest is essential for productivity and wellbeing. Allowing your team to switch off properly helps prevent burnout and supports engagement in the long run.
Final Thoughts
Managing annual leave doesn’t have to be stressful. A few simple steps taken now can save you a lot of hassle later — and show your team you’re serious about fairness and forward planning.
If you need support putting a leave policy in place or managing tricky holiday clashes, HR Caddy is here to help. We specialise in straightforward, no-fuss HR advice for small businesses. Get in touch today to chat through your needs.
