Loss of Pay (LOP)

What is Loss of Pay in Zoho People?

Loss of Pay (LOP) is recorded when an employee is absent on a working day and either has no leave balance available or takes leave without approval. The absent day is marked as LOP in the attendance record, and the corresponding salary deduction is calculated during the payroll run.

When LOP is applied

• An employee is absent without any approved leave in place.
• An employee applies for leave but it is rejected, yet they remain absent.
• An employee has exhausted all their paid leave balances and continues to take additional time off.

LOP and payroll

The number of LOP days is passed from Zoho People to Zoho Payroll (when integrated) to calculate the salary deduction. The deduction is typically computed as: (Monthly Salary / Number of Working Days) x LOP Days.

LOP Reversal

If an LOP was applied incorrectly — for example, the leave was approved retrospectively — HR can raise an LOP Reversal to credit back the deducted amount in the next payroll run.