Bereavement allowance

When someone loses a loved one, the last thing they should worry about is paperwork or pay.

This guide explains what bereavement allowance is, why it matters and how a clear policy can support team members with compassion at one of the hardest moments in their lives.

What is bereavement allowance?

Bereavement allowance is the paid time off or financial support an employer offers when a team member experiences the death of a close relative or dependent.

In most workplaces it takes the form of bereavement leave – a set number of paid or unpaid days off so people can attend funerals, manage family responsibilities and have space to grieve.

In the UK there are specific statutory rights in some situations, such as parental bereavement leave. Many organisations choose to go further by setting their own policy so support does not depend on ad hoc decisions.

You can think of it as a safeguard that means people do not have to choose between work and mourning.

Why is bereavement allowance important?

Handling bereavement case by case with no clear framework can feel inconsistent and unfair. A formal allowance helps you:

• Show compassion. Give people practical support at a time when their focus needs to be on family, not work.

• Provide clarity and fairness. Make it clear who is eligible, how much leave is available and how it is paid.

• Protect wellbeing. Time away from work can reduce stress and support mental health during grief.

• Strengthen loyalty. Team members remember how they were treated in difficult moments and are more likely to stay.

• Stay compliant. Meet any statutory obligations that apply in your country or region.

A clear, human policy makes it easier for managers to respond quickly and sensitively when something happens.

What a good bereavement policy includes

A thoughtful bereavement policy keeps things fair and consistent, while leaving room for discretion where needed. It usually covers:

• who counts as a close relative or dependent.

• how many days of paid and unpaid leave are available.

• options for flexible, extended or part time return to work if needed.

• how pay is handled during bereavement leave.

• guidance for managers on how to respond with empathy and privacy.

Sharing the policy openly means people know what support is there, even if they hope never to need it.

Who benefits from bereavement allowance?

Bereavement allowance supports:

• Team members, by giving them time, space and financial stability to process loss.

• Managers, by providing clear guardrails so they can respond quickly and compassionately.

• Organisations, by building a culture that treats people as humans first, not just headcount.

When bereavement allowance is in place and used well, it sends a simple message: your life outside work matters too.

Get your support together

No policy can remove the pain of losing someone, but it can remove some practical pressure.

By putting a clear bereavement allowance in place and training managers to use it well, you help your team feel held and supported when it matters most.