diff --git a/addons/hr_holidays/hr_holidays_data.xml b/addons/hr_holidays/hr_holidays_data.xml
index 96fb29deae2..4e3a79f18f1 100644
--- a/addons/hr_holidays/hr_holidays_data.xml
+++ b/addons/hr_holidays/hr_holidays_data.xml
@@ -5,6 +5,7 @@
     <!-- Casual leave -->
     <record model="hr.holidays.status" id="holiday_status_cl">
       <field name="name">Casual Leave</field>
+      <field name="limit">True</field>
       <field name="color_name">black</field>
     </record>
 
diff --git a/addons/hr_holidays/hr_holidays_view.xml b/addons/hr_holidays/hr_holidays_view.xml
index 49c1d5d249e..d250f69e904 100644
--- a/addons/hr_holidays/hr_holidays_view.xml
+++ b/addons/hr_holidays/hr_holidays_view.xml
@@ -93,11 +93,11 @@
                             <newline/>
                             <field name="state" colspan="2"/>
                             <group colspan="2" col="6">
-                                <button string="Refuse" name="refuse" states="confirm,validate,validate1" type="workflow" icon="gtk-no" groups="base.group_hr_user,base.group_hr_manager"/>
+                                <button string="Refuse" name="refuse" states="confirm" type="workflow" icon="gtk-no" groups="base.group_hr_user,base.group_hr_manager"/>
                                 <button string="Submit to Manager" name="confirm" states="draft" type="workflow" icon="gtk-yes"/>
                                 <button string="Approve" name="validate" states="confirm" type="workflow" icon="gtk-apply" groups="base.group_hr_user"/>
                                 <button string="Approved" name="second_validate" states="validate1" type="workflow" icon="gtk-apply" groups="base.group_hr_user"/>
-                                <button string="Set to Draft" name="set_to_draft" states="refuse" type="object" icon="gtk-convert" groups="base.group_hr_user"/>
+                                <button string="Set to Draft" name="set_to_draft" states="refuse,validate,validate1" type="object" icon="gtk-convert" groups="base.group_hr_user"/>
                             </group>
                         </page>
                     </notebook>
@@ -135,11 +135,11 @@
                         <newline/>
                         <field name="state" colspan="2"/>
                         <group colspan="2" col="6">
-                            <button string="Refuse" name="refuse" states="confirm,validate,validate1" type="workflow" icon="gtk-no" groups="base.group_hr_user"/>
+                            <button string="Refuse" name="refuse" states="confirm" type="workflow" icon="gtk-no" groups="base.group_hr_user"/>
                             <button string="Confirm" name="confirm" states="draft" type="workflow" icon="gtk-yes"/>
                             <button string="Approve" name="validate" states="confirm" type="workflow" icon="gtk-apply" groups="base.group_hr_user"/>
                             <button string="Approved" name="second_validate" states="validate1" type="workflow" icon="gtk-apply" groups="base.group_hr_user"/>
-                            <button string="Set to Draft" name="set_to_draft" states="cancel" type="object" icon="gtk-convert" groups="base.group_hr_user"/>
+                            <button string="Set to Draft" name="set_to_draft" states="cancel,validate,validate1" type="object" icon="gtk-convert" groups="base.group_hr_user"/>
                         </group>
                     </page>
                 </notebook>
diff --git a/addons/hr_recruitment/__openerp__.py b/addons/hr_recruitment/__openerp__.py
index 320d0c47b6d..5b6eff0ad06 100644
--- a/addons/hr_recruitment/__openerp__.py
+++ b/addons/hr_recruitment/__openerp__.py
@@ -36,6 +36,7 @@ system to store and search in your CV base.
     'depends': ['decimal_precision', 'hr', 'survey', 'crm'],
     'update_xml': [
         'wizard/hr_recruitment_phonecall_view.xml',
+        'wizard/hr_recruitment_employee_hired.xml',
         'wizard/hr_recruitment_create_partner_job_view.xml',
         'hr_recruitment_view.xml',
         'hr_recruitment_menu.xml',
diff --git a/addons/hr_recruitment/hr_recruitment.py b/addons/hr_recruitment/hr_recruitment.py
index 02643a3e90e..6645a6f45c1 100644
--- a/addons/hr_recruitment/hr_recruitment.py
+++ b/addons/hr_recruitment/hr_recruitment.py
@@ -411,12 +411,29 @@ class hr_applicant(crm.crm_case, osv.osv):
         for (id, name) in self.name_get(cr, uid, ids):
             message = _("Applicant '%s' is being hired.") % name
             self.log(cr, uid, id, message)
-
         applicant = self.browse(cr, uid, ids)[0]
-        if applicant.job_id:
-            emp_id = employee_obj.create(cr,uid,{'name': applicant.name,'job_id': applicant.job_id.id})
+        if not applicant.job_id:
+            raise osv.except_osv(_('Warning!'),_('You must define job Id for Applicant !')) 
+        emp_id = employee_obj.create(cr,uid,{'name': applicant.name,'job_id': applicant.job_id.id})
         return res
 
+    def case_close_without_emp(self, cr, uid, ids, *args):
+        """
+        @param self: The object pointer
+        @param cr: the current row, from the database cursor,
+        @param uid: the current user’s ID for security checks,
+        @param ids: List of case's Ids
+        @param *args: Give Tuple Value
+        """
+        employee_obj = self.pool.get('hr.employee')
+        job_obj = self.pool.get('hr.job')
+        res = super(hr_applicant, self).case_close(cr, uid, ids, *args)
+        for (id, name) in self.name_get(cr, uid, ids):
+            message = _("Applicant '%s' is being hired.") % name
+            self.log(cr, uid, id, message)
+        return res
+
+
     def case_reset(self, cr, uid, ids, *args):
         """Resets case as draft
         @param self: The object pointer
diff --git a/addons/hr_recruitment/hr_recruitment_view.xml b/addons/hr_recruitment/hr_recruitment_view.xml
index 3738a1d8be6..f26d0347e4c 100644
--- a/addons/hr_recruitment/hr_recruitment_view.xml
+++ b/addons/hr_recruitment/hr_recruitment_view.xml
@@ -77,7 +77,6 @@
                         <field name="name" string="Subject"/>
                         <field name="partner_name"/>
                         <field name="job_id" on_change="onchange_job(job_id)"/>
-                        <button string="Phone Call" name="%(action_hr_recruitment_phonecall)d" icon="terp-call-start" type="action" groups="base.group_extended"/>
                         <button name="action_makeMeeting" type="object" string="Meeting" icon="gtk-index"/>
                     <newline/>
                     <field name="department_id" widget="selection"/>
@@ -133,7 +132,7 @@
                             <button name="case_cancel" string="Refused" states="draft,open,pending" type="object" icon="gtk-cancel"/>
                             <button name="case_open" string="In Progress" states="draft,pending" type="object" icon="gtk-go-forward"/>
                             <button name="case_pending" string="Pending" states="open" type="object" icon="gtk-media-pause"/>
-                            <button name="case_close" string="Hired" states="open,pending" type="object" icon="terp-partner"/>
+                            <button name="%(action_hr_recruitment_hired_employee)d" string="Hired" states="open,pending" type="action" icon="terp-partner"/>
                             <button name="case_reset" string="Reset to New" states="done,cancel" type="object" icon="gtk-convert"/>
                         </group>
                    </page>
diff --git a/addons/hr_recruitment/wizard/__init__.py b/addons/hr_recruitment/wizard/__init__.py
index c946ed7264f..acabd219857 100644
--- a/addons/hr_recruitment/wizard/__init__.py
+++ b/addons/hr_recruitment/wizard/__init__.py
@@ -22,6 +22,7 @@
 
 import hr_recruitment_phonecall
 import hr_recruitment_create_partner_job
+import hr_recruitment_employee_hired
 
 # vim:expandtab:smartindent:tabstop=4:softtabstop=4:shiftwidth=4:
 
diff --git a/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.py b/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.py
new file mode 100644
index 00000000000..bcb5a5c2507
--- /dev/null
+++ b/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.py
@@ -0,0 +1,61 @@
+# -*- coding: utf-8 -*-
+##############################################################################
+#
+#    OpenERP, Open Source Management Solution
+#    Copyright (C) 2004-2009 Tiny SPRL (<http://tiny.be>). All Rights Reserved
+#    $Id$
+#
+#    This program is free software: you can redistribute it and/or modify
+#    it under the terms of the GNU Affero General Public License as published by
+#    the Free Software Foundation, either version 3 of the License, or
+#    (at your option) any later version.
+#
+#    This program is distributed in the hope that it will be useful,
+#    but WITHOUT ANY WARRANTY; without even the implied warranty of
+#    MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
+#    GNU Affero General Public License for more details.
+#
+#    You should have received a copy of the GNU Affero General Public License
+#    along with this program.  If not, see <http://www.gnu.org/licenses/>.
+#
+##############################################################################
+from osv import osv, fields
+from tools.translate import _
+
+class hired_employee(osv.osv_memory):
+    _name = 'hired.employee'
+    _description = 'Create Employee'
+
+    def case_close(self, cr, uid,ids, context=None):
+        """
+        @param self: The object pointer
+        @param cr: the current row, from the database cursor,
+        @param uid: the current user’s ID for security checks,
+        @param ids: List of case's Ids
+        @param *args: Give Tuple Value
+        """
+        if context is None:
+            context = {}
+
+        hr_app = self.pool.get('hr.applicant')
+        hr_app.case_close(cr, uid,context.get('active_ids',False))
+        return {}
+
+    def case_close_without_emp(self, cr, uid,ids, context=None):
+        """
+        @param self: The object pointer
+        @param cr: the current row, from the database cursor,
+        @param uid: the current user’s ID for security checks,
+        @param ids: List of case's Ids
+        """
+        if context is None:
+            context = {}
+
+        hr_app = self.pool.get('hr.applicant')
+        hr_app.case_close_without_emp(cr, uid,context.get('active_ids',False))
+
+        return {}
+
+hired_employee()
+
+# vim:expandtab:smartindent:tabstop=4:softtabstop=4:shiftwidth=4:
diff --git a/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.xml b/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.xml
new file mode 100644
index 00000000000..b447782719a
--- /dev/null
+++ b/addons/hr_recruitment/wizard/hr_recruitment_employee_hired.xml
@@ -0,0 +1,33 @@
+<?xml version="1.0" encoding="utf-8"?>
+<openerp>
+    <data>
+
+        <record id="view_hr_recruitment_hired_employee" model="ir.ui.view">
+            <field name="name">hr.recruitment.hired2employee.form</field>
+            <field name="model">hired.employee</field>
+            <field name="type">form</field>
+            <field name="arch" type="xml">
+            <form string="Create New Employee">
+                <group col="4" colspan="6">
+                    <separator string="Would you like to create an employee ?" colspan="4" />
+                    <newline />
+                </group>
+                <group col="3" colspan="4">
+                    <button special="cancel"  string="Cancel" icon='gtk-cancel'/>
+                    <button name="case_close_without_emp" string="No" icon='gtk-no' type="object"/>
+                    <button name="case_close" string="Yes" colspan="1" type="object" icon="terp-camera_test"/>
+                </group>
+            </form>
+            </field>
+        </record>
+        <record id="action_hr_recruitment_hired_employee" model="ir.actions.act_window">
+            <field name="name">Create Employee</field>
+            <field name="type">ir.actions.act_window</field>
+            <field name="res_model">hired.employee</field>
+            <field name="view_type">form</field>
+            <field name="view_mode">form</field>
+            <field name="target">new</field>
+        </record>
+
+    </data>
+</openerp>
\ No newline at end of file