Employee attendance policy: Comprehensive guide and templates

Employee absenteeism costs US businesses billions annually, and it’s on the rise. Forbes estimates that unplanned absenteeism exceeds $600 billion per year. That’s an average of $4,080 per full-time employee (half that for part-time employees). However, an effective employee attendance policy can improve productivity and boost your bottom line.

A well-written attendance policy establishes clear expectations between employers and employees. By implementing guidelines for attendance, time off, and tardiness, you can effectively manage your workforce while creating a culture of respect and accountability.

In this guide, we’ll explore the benefits of an employee attendance policy for your business, best practices, how to write one, and provide free policy templates that you can customize. 

What is an attendance policy?

An attendance policy is a structured framework for monitoring and managing employee punctuality, absences, and requests for time off. It sets clear expectations and guidelines for workplace attendance, supporting consistent business operations while promoting fairness for all employees.

A well-written attendance policy outlines specific expectations for working hours, tardiness, acceptable reasons for absences, guidelines for requesting time off for vacations and other types of leave, and penalties for policy violations. Some policies incorporate a point-based system to track and address attendance issues. 

Attendance policies benefit organizations in other ways. They help improve employee accountability, maintain payroll accuracy, and aid in compliance with employment and labor regulations. 

By implementing clear attendance guidelines, organizations can effectively track employee time, maintain proper staffing levels, reduce chronic absent behavior and tardiness, manage workforce costs, and create a more accountable and productive work environment while ensuring consistent application of rules across the entire workforce.

6 benefits of implementing an attendance policy

We’ve touched on the big-picture benefits of employee attendance policies. Now, let’s take a closer look at how they can help your organization. Here are six key benefits of implementing a formal attendance policy. 

1. Regulated flexibility

With a consistent attendance policy, organizations can support flexible work schedules and arrangements, ensuring that employees are accountable. At the same time, your company and workforce benefit from clear expectations that cover flexible working hours, remote work, vacation time, and other leave requests. This helps boost work-life balance for your employees while maintaining operational efficiency. 

2. Improved productivity and accountability

Explicitly stating and clarifying your organization’s attendance expectations makes it easier for your employees to follow policies covering schedules, timeliness, and notice periods. This helps managers and HR teams plan for employee absences, avoiding disruptions and maintaining consistent workflows and productivity. 

3. Compliance with labor laws

Complying with federal, state, and local employment and labor laws is critical for any organization. An attendance policy can help you stay in compliance with a multitude of laws and regulations, including the Family and Medical Leave Act (FMLA), wage and hour laws, and paid sick leave legislation. By adhering to labor regulations, your organization avoids legal risks and financial penalties while treating employees fairly.

4. Clear expectations for employees

A formal attendance policy removes potential ambiguity or misinterpretation of your organization’s directives and expectations. By defining tardiness, acceptable absences, absenteeism, and the consequences of violating policy, employees have a clear understanding of workplace rules, procedures, and disciplinary actions, which leads to fewer disagreements and misunderstandings.

5. Lower costs

A clear and comprehensive attendance policy can help you minimize the financial and productivity impacts of absenteeism. By reducing unplanned nonattendance, you can avoid associated costs such as temporary labor, overtime, and decreased productivity.

6. Positive work culture

A fair attendance policy promotes a positive workplace culture by guaranteeing equal treatment for your entire workforce. When employees follow the same rules and guidelines, perceived inequality or bias is reduced, building trust and improving morale and engagement.

How to write an attendance policy: 5 key components

A clear and well-written employee attendance policy is fundamental for establishing guidelines and setting expectations. Here are five key components to include:

1. Overview of attendance expectations

First, you need to define your organization’s standard working hours clearly. This should include shift start and finish times, break periods, and the required hours for employees to be on-site. In addition, this section should specify what actions constitute tardiness, leaving early, and acceptable arrival times for work. For organizations with alternative work arrangements, such as telecommuting or flexible schedules, the policy should address those options in order to accommodate different workplace needs.

2. Time off requests and communication process

Your policy needs to define the specific steps for requesting and reporting time off, including the correct communication channels (e.g., email, written) for time-off requests, notice periods, and the approval process. The policy should specify how to submit leave requests and the expected response times from your HR team.

3. Policy expectations on specific leaves

Your company’s attendance policy must comply with legally mandated leaves. It should explain accommodations for employees with disabilities under the Americans with Disabilities Act (ADA), religious observances under the Civil Rights Act, and leaves covered under the Family and Medical Leave Act. Military duty leave rights must adhere to the Uniformed Services Employment and Reemployment Rights Act (USERRA). Policies covering jury duty, bereavement, and parental leave should outline eligibility, leave duration, and any requirements for supporting documentation. 

4. Disciplinary actions

Your policy must outline a transparent and progressive system of penalties for violating company attendance rules. It should explain clear limits for verbal warnings, written warnings, probation, and possible termination. To ensure fairness and avoid discrimination claims, the disciplinary process must be applied consistently at all levels of the organization.

5. Attendance tracking and documentation

A comprehensive attendance policy should explain the methods for tracking attendance, such as biometric systems, digital platforms, or traditional time clocks. This section may also cover data privacy, including who can access attendance records and how long they’re kept. Supporting documentation requirements, such as medical certificates for sick leave or military orders for service-related leave, should also be included.

Employee attendance policy template: 2 examples 

When crafting an employee attendance policy, you must make sure that it aligns with the labor standards and regulations specific to your state (or country). This ensures compliance and fairness while addressing the needs of your employees. Below are two attendance policy examples to help you create an effective policy.

Example 1: Comprehensive attendance policy template for a mid-sized organization

Overview of attendance expectations

[ORGANIZATION NAME] values on-time arrival, regular attendance, and adherence to work schedules. Meeting attendance and punctuality standards is important for maintaining productivity and building a strong team. Employees are expected to be on time for their assigned hours and ready to execute their duties and functions. Consistent attendance is key to an efficient work environment and promotes fairness across our team.

Time off requests and communication process

Time off requests must be submitted through our HR platform at least two weeks prior to a planned absence. For unexpected absences, including illness or emergencies, employees should inform their manager or team leader no later than one hour before their scheduled shift. Failure to communicate unexpected absences promptly may warrant administrative action and penalties.

Policy expectations on specific leaves

Parental leave: Under the Family and Medical Leave Act (FMLA), eligible employees are entitled to up to 12 weeks of unpaid leave for the birth or adoption of a child. If the leave is anticipated, advance notice of at least 30 days is required.

Disability leave: Employees with a qualifying disability may be eligible for reasonable accommodations and leave under the Americans with Disabilities Act (ADA). Documentation from a healthcare provider may be necessary.

Bereavement leave: Employees may take up to three days of paid time off to grieve the loss of an immediate family member. Additional days of unpaid leave may be requested, with permission from management.

Military duty: Employees called to active duty or training are entitled to leave under the Uniformed Services Employment and Reemployment Rights Act (USERRA). Employees must provide notice as soon as possible and submit relevant documentation.

Disciplinary actions

Failure to adhere to attendance policies may result in the following disciplinary actions:

• First Offense: Verbal warning and documented in the employee’s file
• Second Offense: Written warning with a performance improvement plan (PIP)
• Third Offense: Suspension without pay
• Fourth Offense: Termination of employment

Repeated violations of this attendance policy, including excessive tardiness or absences without a reason, will be handled in accordance with [ORGANIZATION NAME]’s disciplinary policy.

Example 2: Flexible attendance policy template for a small company

Attendance expectations: An overview 

[COMPANY NAME] is a results-oriented work environment where our team members manage their time responsibly. While flexibility is encouraged, employees must ensure they still meet project deadlines, attend scheduled meetings, and notify their team leader of any scheduling conflicts in advance.

Time off requests and communication process

Requests for time off must be submitted via the company’s internal scheduling platform. For excused absences, submit requests at least one week in advance. In the case of unexpected absences like emergencies or illness, employees must notify their direct supervisor or manager by telephone or email as soon as possible, preferably before the workday begins. 

Policy expectations for specific leaves

Parental leave: [COMPANY NAME] provides six weeks of paid parental leave for eligible employees following the birth or adoption of a child. Employees must notify human resources at least 30 days prior to the expected start date of leave.

Disability leave: Employees who require time off due to a disability may request support under the Americans with Disabilities Act (ADA). Supporting medical documentation is required.

Bereavement leave: Employees are granted up to five paid days off for the loss of a close family member. Additional unpaid leave may be arranged upon request.

Military duty: Employees who are reservists or called to active duty are granted leave under the Uniformed Services Employment and Reemployment Rights Act (USERRA). They should provide their supervisor with advance notice and any relevant orders.

Disciplinary actions

To maintain fairness and accountability in our workplace, [COMPANY NAME] enforces the following steps for attendance policy violations:

• Step 1: Discussion and guidance to address the issue (e.g., excessive tardiness)
• Step 2: A formal written warning
• Step 3: A final warning and a possible reduction in flexible work privileges
• Step 4: Termination for repeated noncompliance

At [COMPANY NAME], we understand that unexpected circumstances happen. To ensure fair treatment for all employees, we will address attendance issues on a case-by-case basis.

Employee scheduling software to improve employee attendance

Modern work scheduling software improves productivity by providing powerful tools for attendance tracking and policy enforcement. Platforms like Rippling enable managers to create, assign, and adjust schedules in real time, helping your organization meet operational needs and boosting productivity at the same time. Employees gain visibility into their schedules and the ability to request changes, improving communication and reducing scheduling conflicts. 

Advanced systems can automatically monitor late starts (tardiness), early departures, and missed shifts and send real-time notifications to your HR team. Tracking attendance in this way helps you identify problems and patterns early while ensuring consistent policy enforcement. These tools give you the ability to create and apply custom attendance policies, so your organization remains compliant with federal, state, and local labor laws based on each employee's work location.

4 attendance policy best practices 

A comprehensive attendance policy tailored to your organization is key to maintaining a positive work environment while ensuring legal compliance. Here are four best practices to help you craft an attendance policy that is straightforward, equitable, and supports both the well-being of your talent and your company’s business needs. 

1. Incorporate legal compliance

When developing an attendance policy you must incorporate federal, state, and local labor and employment laws. This includes leave requirements and legally protected absences under the FMLA, ADA, and USERRA. It’s important to keep current with evolving labor laws affecting attendance tracking and time-off policies. Note that some states and localities have additional protections beyond federal law. A regular review of your attendance policy is necessary to remain compliant with constantly changing regulations and protect your business from potential violations and financial penalties. 

2. Consider workplace culture

Effective and comprehensive attendance policies sync with and boost workplace culture. For example, a restaurant may require attendance guidelines that are different from those of a software development company. The former is customer-facing, while the latter is focused on creative work, resulting in a significant difference in work patterns. 

When crafting your attendance policy, take into consideration industry standards, the work environment, and team dynamics. Avoid inflexible employee attendance policies, as they can impact workplace morale. A positive workplace atmosphere focusing on employee wellbeing and work-life balance typically experiences fewer attendance issues. 

3. Communicate the policy

Effective communication of attendance expectations is critical to the success of your attendance policy. Ensure that the policy is easily accessible to your management team and employees. Include it in employee handbooks and company onboarding documentation. Define terms such as tardiness, unexcused absences, and sick leave in clear and straightforward language.

When updating or adding new guidelines, allow sufficient time for your employees to evaluate the changes and provide their feedback. Ensure managers and team leaders are thoroughly trained on your policy and its implementation. This will help facilitate consistent and fair enforcement across your organization. 

4. Establish feedback and review mechanisms

To keep your attendance system running smoothly, it's important to review policies and gather employee feedback regularly. Conduct periodic surveys to gather employee input and evaluate how well your policy works. Encourage employees to talk to their supervisors about any attendance challenges (e.g., tardiness, absenteeism) they may be facing. This will help foster dialogue about obstacles you might not be aware of. Update your policies based on employee feedback and evolving workplace needs. For job abandonment cases, include specific guidelines that define when a prolonged and unexpected absence constitutes a resignation.

Rippling: Automate time and attendance tracking while implementing your policy

Rippling is an all-in-one platform that unifies HR, IT, and Finance into a single system, paving the way for time-saving automations that help businesses manage their workforce. 

Among Rippling’s many advanced features is its Time & Attendance tool, which automatically tracks employees’ hours as soon as they clock in and syncs those hours directly to payroll, ridding the need for any cumbersome (or error-prone) manual data entry. With Rippling, you can build custom policies that automatically enforce your organization’s unique rules and procedures. 

Rippling Time & Attendance not only offers a comprehensive set of functions for tracking hours and approving them for payroll runs but also works in tandem with countless interoperable processes that help you manage your workforce more confidently and efficiently. 

Rippling Time & Attendance includes a scheduling feature that helps teams manage shifts that are compliant with local laws and minimize overtime. You can trigger automations for overtime approvals, reminders for employees to take a meal break, or warnings of unapproved hours ahead of pay runs. And with automated compliance monitoring, you can enforce employment laws adherent to every employee’s work location. 

With employee data as your single source of truth, Rippling saves admin teams hours of time on busywork, freeing up brain space for strategic projects. 

Attendance policy FAQs

How many unscheduled absences are acceptable?

In the US, it varies depending on the company and industry. However, most organizations typically allow 3 to 4 unscheduled absences per year before taking disciplinary action. After four absences, employees are generally given a verbal warning. If the absences continue, consequences increase in severity. The next step is usually written warnings followed by termination if the issue remains unresolved. It’s worth noting that many organizations treat consecutive missed days due to legitimate illnesses or emergencies as a single occurrence. 

How often should a time and attendance policy be reviewed or updated?

You should review attendance policies at least annually to keep up with changes to federal and state labor regulations, industry standards, and your company's needs. If your company experiences major changes or if your current policy isn’t having the desired effect, more frequent reviews may be required. Failing to update your policy can result in non-compliance with employment laws and potential penalties. 

What tools can be used to track employee attendance?

Modern solutions for attendance tracking range from basic to cutting-edge. Time and attendance tracking systems can include biometric features, mobile apps, and cloud-based applications. With advanced systems like Rippling, employees can clock in and out using web, mobile, or kiosk platforms, while features like geolocation verification and automated timesheet generation streamline the process. Additionally, many modern solutions integrate with payroll platforms, generate real-time reports, and maintain compliance with federal and state employment regulations. 

Can an attendance policy be flexible?

Yes. There are a number of benefits to implementing a flexible attendance policy, especially in light of the recent changes in today's workplaces. While maintaining clear expectations, flexible policies can include options covering remote work, adjustable start times, alternative schedules, and hybrid arrangements. This flexibility should align with your organization’s needs and cover areas like meetings, working hours, start times, and so on. Effective flexible attendance policies can reduce absenteeism and maintain accountability while meeting the needs of your employees.

This blog is based on information available to Rippling as of February 4, 2025.

Disclaimer: Rippling and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide or be relied on for tax, accounting, or legal advice. You should consult your own tax, accounting, and legal advisors before engaging in any related activities or transactions.