Leave categories are the means through which your employees can submit time off against a pre-defined category. These pre-defined categories allow you to track what type of leave your employees are taking and the balance they have accrued, giving your organisation the means to manage and report on employee leave within your business.
For more details, refer to: https://support.yourpayroll.com.au/hc/en-gb/articles/200265754-Leave-Categories
