Payment for annual leave
The Fair Work Commission has handed down a decision that affects whether annual leave has to be paid in advance for employees paid by electronic funds transfer in some awards. These changes apply from the first pay period on or after 29 July 2016. We've updated this page with the new information - choose your award from the list below to find out if it applies to you.
For an overview of the changes, visit Changes to annual leave in some awards.
Annual leave is paid at the employee's base pay rate for all ordinary hours worked, not including extra payments such as:
- overtime rates
Awards, enterprise agreements and other registered agreements can set out:
- a different method of payment for annual leave
- that annual leave loading is paid for annual leave.
Find information about payments for annual leave and annual leave loading in your award by selecting from the list below.
- Building, construction and on-site trades
- Contract cleaning services
- Hair and beauty
- Health support services
- Real estate
- Road Transport
- Social, community, disability and home care services
- Storage services and wholesale
- Don't know
Annual leave when employment ends
When employment ends, an employee has to be paid out all unused annual leave as part of their final pay. This payment includes annual leave loading when it applies.
Annual leave when sick or injured
If an employee is sick or injured while on annual leave, the employee can use their paid sick or carer's leave entitlement instead of using their annual leave.
The employer can still request the employee provide notice and evidence when taking sick or carer's leave while on annual leave.
An employer can’t direct an employee to take annual leave while they’re taking sick or carer’s leave.
Source reference: Fair Work Act 2009 (Cth) section 90
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Check out our Help resolving workplace issues section for practical advice on:
- figuring out if a mistake has been made
- talking to your employer or employee about fixing it
- getting help from us if you can't resolve it.
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