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The Ultimate HR Guide to Leave of Absence
In today's workplace, a leave of absence (LOA) request is a critical moment for both the employee and the organization. For the employee, it represents a significant life event—such as welcoming a child, facing a health crisis, or supporting an aging parent. For HR leaders, it is an opportunity to prove that the company's values extend beyond the handbook—while keeping an eye on the bottom line.
Many organizations take a reactive approach to LOAs even when the cost of doing so is staggering. Research indicates that for a 1,000-employee company, burnout and disengagement leading to an LOA can cost upwards of $5 million annually, or $4,000-$21,000 per worker in lost productivity, absenteeism, and turnover (CUNY School of Public Health, 2025). By shifting to a more preventive, caregiving-centric leave model, organizations aren't just creating another layer of benefits; they're building a framework that underpins all other benefits and can prevent unnecessary spending.
This guide will walk you through how to build a leave program that protects your people-and your budget.