The holiday season is an exciting time for NZ businesses, but it can also be a bit overwhelming. Between managing staff leave, keeping operations running smoothly, and making sure your finances are in order, there’s a lot to juggle. With the right planning, though, you can breeze through the festive season while keeping your team happy and your business thriving.
Here are five practical steps to help you streamline your holiday planning and take the stress out of the season.
1. Assess Your Business’s Holiday Needs and Schedule
Think of this step like planning a road trip—you wouldn’t start without knowing your route and stops along the way.
Taking the time to understand your business’s holiday needs is the foundation for a smooth year-end. Whether your business slows down or ramps up during this period, having a clear plan ensures you’re setting up your team, operations, and finances for success.
Evaluate Peak and Quiet Periods:
Work out when your business is likely to be busy or quiet. For example, take advantage of mid-week public holidays like Christmas and New Year. By booking just 6 days of leave between Saturday, December 21, 2024, and Sunday, January 5, 2025, you can enjoy a 16-day break while balancing operations effectively. 😊Review Supplier and Customer Needs:
Will your key suppliers and customers be available during the holiday period? Knowing this can help you avoid delays or disruptions.Determine Key Staffing Needs:
Decide which roles are essential to keep things running. This ensures you’re neither short-staffed nor over-resourced.
"Failing to plan is planning to fail." — Benjamin Franklin
2. Engage Your Team in Early Holiday Planning
Holiday planning is a bit like a team sport—everyone needs to know their role for the plan to work.
Getting your team involved early makes all the difference. It fosters cooperation, gives everyone time to plan their personal leave, and ensures you can manage schedules without last-minute hiccups.
Hold a Team Meeting:
Discuss holiday schedules with your team well in advance. When employees help coordinate leave plans, it boosts teamwork and ensures essential roles are covered.Encourage Early Leave Requests:
Ask staff to submit leave requests as early as possible, so you can adjust your staffing accordingly.Set Clear Expectations:
Clarify your holiday policies and let your team know if there are any restrictions, such as who will be on-call.
Understand Close-Down Requirements (Holidays Act 2003):
If your business is planning a mandatory close-down period, the Holidays Act 2003 has some specific rules to follow:
Annual Leave Requirement:
Employers can require employees to take annual leave during a close-down if they’ve accrued enough leave. You’ll need to give at least 14 days’ written notice.Employees Without Enough Leave:
For staff without enough leave accrued, you can either let them take leave in advance, place them on unpaid leave, or pay out part of their entitlement if they’re due to earn leave shortly after the close-down.Resetting Leave Dates:
The close-down resets the annual leave entitlement date for each employee, marking a new annual leave year. Make sure your payroll system reflects these changes.
For more guidance, check out this helpful flowchart from Employment NZ:
Closedown Period Guidance
"Plans are nothing; planning is everything." — Dwight D. Eisenhower
3. Create a Strategic Holiday Staffing Plan
Building a holiday staffing plan is like orchestrating a symphony—every team member has a role, and together, they create harmony.
A good staffing plan ensures you have the right people in place, avoids burnout, and keeps your operations running smoothly during the holidays.
Identify Essential Roles:
Focus on the roles that are critical for keeping your business running, especially in customer service and operations.Balance Workloads:
Share the load by creating rotating shifts or shorter working hours if possible.Prepare for Emergencies:
Have backup plans in place for unexpected absences, such as stand-in roles or contingency schedules.
"Efficiency is doing things right; effectiveness is doing the right things." — Peter Drucker
4. Optimise Annual Leave to Reduce Financial Liabilities
Think of annual leave like pruning a garden—keeping it in check helps everything grow more smoothly.
Encouraging staff to use leave during quieter periods reduces your end-of-year leave liabilities and helps your business stay financially healthy.
The Hidden Costs of Annual Leave:
Some employees save leave as a safety net, but high leave balances can become a financial burden. They add to your liabilities and could impact your borrowing power or cash flow.Encourage Leave During Quiet Times:
Suggest taking leave during strategic periods, like the day after Waitangi Day on Thursday, February 6, 2025. By taking Friday, February 7, employees can enjoy a 4-day weekend. 😊 These small breaks ensure staff return recharged while maintaining balance in your operations.Plan for Payroll Implications:
Account for holiday pay, time-and-a-half, and leave accruals when managing payroll.
"The bottom line is… to keep it manageable." — Unknown
5. Prepare for Success with Communication and Contingency Plans
Holiday planning is like weatherproofing your business—being prepared means you can handle whatever comes your way.
Good communication and a solid backup plan ensure your business runs smoothly, even if unexpected challenges pop up.
Set Up Clear Communication Channels:
Make sure everyone knows how and where to get updates or changes to the holiday schedule.Develop a Backup Plan:
Be ready for last-minute changes, like unexpected absences or a surge in customer demand.Regular Check-Ins:
Stay in touch with your team during the holidays to proactively address any issues.
"In preparing for battle, I have always found that plans are useless, but planning is indispensable." — Dwight D. Eisenhower
Take the Stress Out of Holiday Planning with Conduit Bookkeeping
Don’t let holiday planning weigh you down. At Conduit Bookkeeping, we provide tailored support with bookkeeping, payroll management, and leave planning to help your business thrive through the busy season.
Get in touch today and let’s create a holiday plan that keeps your team happy, your business organised, and your finances under control.