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How to create an attendance policy
Looking for a simpler way to manage employee attendance?
Creating a clear and fair attendance policy is essential for Canadian employers who want to foster accountability, minimize absenteeism and enable smooth operations. A well-documented employee attendance policy sets expectations, outlines procedures and helps employers manage time and attendance fairly and legally. Whether you’re a small business owner or an HR professional, this guide will walk you through the key components of a workplace policy tailored to the Canadian landscape.
Table of Contents
- What is an attendance policy?
- Why is an employee attendance policy important?
- Understanding basic attendance policy terms
- How to create an attendance policy: step-by-step
- Best practices to consider when creating your attendance policy
- Attendance policy template and examples
- How to improve employee attendance
- Discipline
- How employee time and attendance software can help you improve attendance
- Looking for a better way to manage attendance?
- FAQs
What is an attendance policy?
An attendance policy, also known as an employee attendance policy or staff attendance policy, is a document that outlines your company’s expectations for punctuality, scheduled hours and time-off procedures. It explains how absences, tardiness and early departures are tracked and managed. In Canada, a compliant workplace attendance policy also considers applicable labour laws, paid sick leave entitlements and protected leaves under federal, provincial or territorial employment standards.
Why is an employee attendance policy important?
An employee attendance policy is essential for maintaining productivity, minimizing scheduling conflicts and consistently managing absenteeism. It can help promote fairness across the team, reduce disruptions to customer service or production and control costs by limiting the need for overtime or temporary staffing. A well-crafted policy also supports compliance with Canadian labour regulations and provides a clear framework for addressing disputes and enforcing disciplinary measures when necessary.
Understanding basic attendance policy terms
Before drafting your attendance policy, it helps to understand common attendance terms, such as:
- Tardiness: Arriving late to work or returning late from breaks
- Absenteeism: Frequent or unexcused absences
- No-show: Not arriving at work, without notice
- Protected leave: Absences legally protected under the Employment Standards Act (ESA)
- Paid time off (PTO): Includes vacation days, sick days and personal leave
Each term should be clearly defined in your policy to avoid misunderstanding.
How to create an attendance policy: Step-by-step
Follow this workflow to draft, communicate and maintain a workplace attendance policy:
- Define your business needs: Consider the nature of your operation. Will you need strict scheduling, shift coverage or flexibility? Your policy should reflect your workplace reality.
- Review federal, provincial or territorial employment standards: Based on your jurisdiction, ensure compliance with protected leaves, paid sick days, vacation entitlements and recordkeeping requirements.
- Outline expectations clearly: Specify start and end times, break durations, reporting procedures for lateness or absences and how shift changes should be handled.
- Decide how to handle planned absences: Clarify what counts as an unexcused absence or no-show and how these will be recorded or addressed.
- Establish a process for requesting time off: Detail how and when employees should request vacation days, personal days or leaves and through what method (email or app, for example).
- Choose a tracking method: Determine whether you use manual tracking, spreadsheets or time and attendance software to log hours and absences.
- Include consequences and disciplinary steps: Outline the steps for progressive discipline while allowing for flexibility and accommodation where needed.
- Communicate the policy clearly: Add the policy to your employee handbook, review it during onboarding and make it accessible via an HR portal or shared drive.
- Train your managers: Equip supervisors with tools and training to enforce the policy fairly. Teach them to document attendance issues and to recognize when accommodations may be required.
- Review and update regularly: Revisit your policy annually or after any changes to labour laws, business needs or employee feedback to ensure ongoing relevance and compliance.
Make sure your policy reflects provincial or territorial regulations, especially regarding paid sick leave or protected absences under employment standards. Staying compliant can be complex, especially as your team grows or operates across multiple provinces. A time and attendance solution can help automate tracking, flag potential compliance issues and enable consistent policy application. For added assurance, consider consulting legal counsel or working with an HR partner to review your attendance policy.
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Learn MoreBest practices to consider when creating your attendance policy
To strengthen your staff attendance policy, keep these best practices in mind:
- Be consistent: Apply rules equally across all roles and departments.
- Stay flexible: Build in options for remote work or flexible schedules where feasible.
- Support employee well-being: Encourage employees to take necessary time off.
- Use a point system (if needed): Track absences or tardiness clearly and documented with rolling time frames for accountability.
- Document: Keep records of absences, warnings and accommodations to protect yourself and the employee.
Attendance policy template and examples
Creating an attendance policy starts with outlining your expectations, documenting procedures and making sure the policy aligns with Canadian labour laws. Below is a customizable employee attendance policy template that you can adapt to your business needs. This template is suitable for small to midsized Canadian businesses and can be tailored based on your team size, work environment or provincial regulations.
Sample employee attendance policy template
Alongside the sections below, be sure to include an effective date and who the policy applies to (for example, all employees, full-time staff or part-time staff).
|
Section |
What to include |
Example |
|---|---|---|
|
Purpose |
Explain why the policy exists and its goals |
This policy outlines [company name’s] expectations for attendance, punctuality and time-off procedures. It helps ensure a fair and productive workplace.
|
|
Work hours and scheduling |
Define standard hours, breaks and any remote work expectations |
Work hours: 9am-5pm with 1 1-hour break and one day of remote flexibility. |
|
Reporting absences or lateness |
How and when employees must notify the employer |
Employees must notify their manager by phone or email at least 1 hour before the shift starts.
|
|
Time-off requests |
Process for vacation, personal days or other leave |
Requests must be submitted at least two weeks in advance through our HR platform. |
|
Unplanned absences and sick leave |
Approach to unexpected absences and your compliance with provincial leave laws |
Employees are entitled to job-protected leave in accordance with [province name] regulations. Doctor’s notes may be required after three days. |
|
Attendance tracking method |
Specify how attendance is recorded |
We use [software name] to track work hours and absences in real-time. |
|
Disciplinary process |
Steps for handling attendance violations |
Attendance issues may result in verbal warnings, written warnings and termination.
|
|
Affirm your commitment to supporting employees facing personal or medical challenges |
Employees may request accommodations under human rights legislation through HR.
|
|
|
Policy review |
How often will the policy be updated |
This policy will be reviewed annually and updated as needed. |
|
Acknowledgment |
Optional section for employee sign-off |
I acknowledge that I have read and understand this policy. [employee signature] |
How to improve employee attendance
If absenteeism is becoming a pattern in your workplace, consider proactive strategies to address the root causes:
- Check for burnout or morale issues through regular one-on-one conversations
- Offer flexibility with hybrid schedules, shift swaps or personal days
- Update PTO policies to ensure they align with employee needs
- Promote engagement with recognition programs or wellness resources
- Train managers to handle attendance issues with empathy and consistency
Discipline
Even with a clear attendance policy in place, employees may encounter challenges in meeting expectations. It’s important to address violations promptly and consistently. A progressive discipline approach — starting with verbal warnings, followed by written warnings and, if necessary, termination — helps ensure fairness and transparency. Any disciplinary actions should be documented and based on clear evidence, such as attendance logs or manager notes. Employers should also consider the person’s circumstances, such as medical issues or family emergencies, before taking action. Using time and attendance software can simplify recordkeeping and support compliance when enforcing your attendance policy. Always consult your HR team or legal counsel to ensure disciplinary steps align with provincial employment standards.
How employee time and attendance software can help you improve attendance
Managing attendance manually can be time-consuming and prone to error. Time and attendance software can help Canadian employers:
- Track lateness, absences and worked hours in real time
- Generate reports to spot trends and address issues early
- Allow employees to request time off or swap shifts easily
- Meet compliance obligations related to provincial and federal labour laws
Integrated with payroll systems, these tools also help simplify the processing of statutory holiday pay, overtime and leave entitlements.
Looking for a better way to manage attendance?
ADP offers time and attendance solutions built for Canadian businesses. Learn more about how ADP can help.
FAQs
Can you terminate an employee for poor attendance?
Yes, but termination must be handled carefully and in accordance with employment standards. It’s important to document patterns of absenteeism, ensure the employee has been warned and verify that there are no protected reasons, such as illness or family leave, behind the absence. Consulting legal or HR for support is recommended before taking action.
What is a no-fault attendance policy?
A no-fault attendance policy tracks absences without considering the reason for them. Each absence counts equally, and disciplinary action is based on the number of occurrences. This approach does not comply with Canadian labour laws, which require employers to account for protected leaves, such as sick or family-related absences.
What is the best way to record employee attendance?
Using time and attendance software can be an accurate and efficient way to record employee hours, breaks and absences. It can help reduce manual errors, assist with scheduling and simplify compliance with payroll and labour laws.
How often should I update the attendance policy?
Review your attendance policy at least once a year or whenever there are changes to employment standards, your work environment or scheduling practices. Regular updates help ensure the policy stays relevant, legally compliant and aligned with your business needs.
Do part-time employees follow the same attendance policy as full-time staff?
Yes, part-time employees are generally expected to follow the same attendance expectations as full-time staff on the days they are scheduled to work; however, the policy should account for differences in hours and scheduling flexibility. It’s important to clearly outline expectations in the policy and apply them consistently across employee types to avoid confusion or claims of unfair treatment.
This guide is intended to be used as a starting point in analyzing attendance policies and is not a comprehensive resource of requirements. It offers practical information concerning the subject matter and is provided with the understanding that ADP is not rendering legal or tax guidance or other professional services. Please consult with your legal counsel.
