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There are 4 options within the holiday calendar. 

Default calendar view - This will determine how the calendar will be grouped. You can choose from reporting lines, departments, division, location, region or team. 

Enable organisation units dropdown - This allows employees to change the calendar view based on the organisation units. 

Approval required for custom calendar - If ticked the , approval will be required if an employee wished wishs to view another employee's calendar. Go to viewing calendars to see how this works for an employee.

Reporting level - This determines how many levels down a manager can see. For example if set to 1, the manager will only see their direct report. 

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