A sick-leave policy may vary a bit from your vacation-leave policy. Most companies offer sick leave on a “take it or leave it” option, which means that employees who separate from the company are not paid for unused leave. As always, the way in which sick leave will be earned and paid out should be spelled out in a written policy. Disability insurance plans may have a requirement about unused sick leave being used before disability payments will kick in. This is something to find out so that employees can be told what to expect if they are scheduled for surgery or have an illness or injury that results in temporary disability.

If it appears that an employee is abusing the sick-leave policy (e.g., calling-off sick then being seen shopping at the mall or dancing at a club), you may require that he bring in a doctor's note excusing him from work next time he claims to be ill. Before you do this, make sure that you have a valid, documented reason to make an exception. Better yet, have more than one documented instance of possible sick-leave policy abuse. And, as always, a policy about asking for a doctor's note from employees who may be abusing the policy must be consistent. Other signs that the sick-leave policy is being abused are if an employee routinely calls off sick right before or after the weekend — especially a long weekend that includes a holiday.