It is new type of leave in which user is able to select first or second half of day for desired leave. This type of leave spans only for a single day and there's no end date (when selected, you won't see it on "Create Vacation Document" request).
If a user wants to take more than one half-day leave, then it is necessary to create multiple requests - one per each calendar day. Taking half-day leave reduces available vacation days quota by 0.5 (half a day) - see below (3).
To request half-day leave, you have to select date (1) and half of day (2). Option AM stands for first half of workday and PM stands for second half.
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Be advised:
00:00 - 12:00 = AM
12:01 - 11:59 = PM