This presentation provides an overview of leave obligations for employers. It is designed to help business owners and managers understand their rights and obligations.
It answers the questions:
• How much annual leave do employees get?
• What are the entitlements for shift workers?
• How does accrual of annual leave work?
• Can an employer direct an employee to take annual leave?
• Can annual leave be paid out?
• What is annual leave loading?
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Employsure is Australia’s leading workplace relations specialist – providing support with employment relations, HR services, and workplace health & safety. Employsure works alongside employers to set solid foundations for business success. With highly skilled professionals assisting over 24,000 business owners Australia-wide, Employsure provides small to medium-sized businesses with the tools, advice, and assistance to be workplace confident.
Instilling Workplace Confidence
Employsure’s main objective as workplace relations specialists is to give business owners peace of mind when they need it most. This is achieved by providing employers advice on the Fair Work Act, National Employment Standards (NES), and relevant Modern Awards. Employsure clients receive tailored documentation such as employment contracts, policies, and procedures – as well as immediate updates of relevant legislative changes. May the situation present itself, Employsure also provides its clients with representation and legal protection.
Employsure also reviews workplace health and safety processes and documents to identify specific gaps and solutions. Based on this, best practice tools are provided to lay the foundations for ensuring a fair and safe workplace.
In essence, Employsure believes that all business owners, no matter their size, deserve access to comprehensive, quality and honest advice – and support that is scalable to the needs of their business.
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2. This presentation covers the following topics about leave entitlements:
• What are the entitlements for shift workers?
• Can an employer direct an employee to take annual leave?
• Can annual leave be cashed out?
• What is annual leave loading?
• Public Holidays
• Community service leave
• Maternity or parental leave
Main topics.
Free e-guide
Understanding leave
obligations can be a challenge
for employers, download our
free e-guide on leave
obligations to get informed.
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3. Annual
leave.
How much annual leave does an employee get?
Every business in Australia must adhere to the 10
National Employment Standards (NES), which provide
that employees (other than casuals) are entitled to:
4 5
weeks of paid
annual leave
weeks of paid
annual leave for
shift workers
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4. Shift
workers.
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Who is considered a shift worker?
Shift workers have different annual leave
entitlements to regular employees. Under
the Fair Work Act 2009, an employee is
considered to be a shift worker if they:
• Work for a business where shifts are
rostered 24-hours a day, seven days a week
• Are regularly rostered to work those shifts
• Regularly work Sundays and public holidays
Employees covered by a modern award or
enterprise agreement that defines them as a
shift worker for the purposes of the NES are
also considered to be shift workers.
Free resource
Not sure what the difference
is between the various types
of employment? Download
our infographic which breaks
down fixed-term, casual and
permanent employment.
5. Accrual of
annual leave.
• Employees don’t receive their full entitlement when
they start a job
• Annual leave accrues during the year
• Employees can take their annual leave after it is
accrued. Employers cannot unreasonable refuse a
request to take annual leave.
• Annual leave continues accruing while the employee is
on any form of paid leave
• At the end of the employment relationship, an employer
must pay to the employee, any accrued but unused
annual leave.
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6. Can an employee be directed to
take annual leave?
YES
• Most Modern Awards allow
employers to direct employees
to take their annual leave,
provided the request is
considered “reasonable”.
• The Christmas shut-down
period of a business is an
example of a “reasonable”
situation.
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7. Can an employee request an
annual leave payout?
MAYBE
• Some Modern Awards allow employees
to request a cash out of annual leave,
provided they still have four weeks
remaining after the payout.
• If an Award doesn’t specifically
mention this, there is still the
possibility of negotiating an
arrangement directly between
employee and employer.
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8. What is
annual leave
loading?
• Annual leave loading is an additional payment (usually
17.5%) which some employees are entitled to when
they take annual leave
• It is designed to cover employees for any shortfall they
may have in missing out on bonuses and overtime while
on annual leave
• Every Modern Award has specific rules about leave
loading so it’s important to check the Award, or speak
to a workplace specialist for specific information
• Leave loading is also paid out with annual leave when an
employee leaves the business
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9. Navigating
public
holidays.
• An employer needs to be aware of both
when public holidays occur as well as
the laws and stipulations around
working and leave during these
periods.
• Full time and part time employees who
do not work on a public holiday must
still be paid for their usual working
hours.
• Employers are not required to pay
casual staff who do not work on a public
holiday.
• If a public holiday falls during an
employee’s leave, the public holiday is
not taken away from the accrual of
their annual leave balance.
Free resource:
e-guide
Public holidays pose a unique
challenge to employers, know
your public day rights and
responsibilities. Download
your copy of the Small
Business Public Holiday
Survival Guide now.
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10. Working on
public
holidays.
Some Awards and agreements provide extra
entitlements for employees who work on a public holiday.
Employers need to make sure they are aware of these
cases.
Entitlements vary depending on the Award or agreement
the employee is covered by. Some examples may include:
• Extra pay, public holiday rates
• An extra day off
• Minimum shift lengths
• Agreeing to substitute a public holiday for another day
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11. What is community service leave?
• All employees, including casual staff,
are eligible for community service
leave. There is no limit to how much
community service leave an employee
takes.
• Jury service is the only form of
community service leave that is paid.
Community Service Leave covers
time-off for:
• Jury service
• Voluntary emergency management
conducted by a state or territory
• Firefighting
• Civil defence or rescue body for
emergencies or natural disasters. For
example, State Emergency Service.
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12. Parental leave
explained.
• 12 months is the standard unpaid
maternity leave entitlement.
• Concurrent leave: if parents wish to
take unpaid leave at the same time.
This can only be a duration of 8
weeks.
• If parents take separate periods of
unpaid leave, they are entitled to 12
months each, so long as the
combined leave doesn’t exceed 24
months.
• Pregnant employees have certain
rights under the Fair Work Act 2009.
Employers must be aware of these
entitlements if they have a staff
member who is presently pregnant
and still working.
Guide to Parental Leave
Maternity and parental leave is
something that is often
misunderstood by both
employers and employees alike.
Click here for a further
breakdown of what you need to
know.
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13. Navigating workplace
relations can be confusing.
Employsure works directly with employers to ensure they
stay on top of rapidly changing legislation and provide a fair
and safe workplace for their staff.
Get in touch with us today to find out how we can help your
business grow.
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