Leave Without Pay Fact Sheet
Unpaid Leave
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There are many reasons why an employee may request to take unpaid leave. Some may be personal others practical. As an employer you are not obliged to provide unpaid leave to an employee, and the leave only becomes official if both agree.
During unpaid leave an employee would not automatically receive any public holiday pay, sick leave or bereavement leave. Benefits are calculated based on the question of whether the day is one the employee would usually work. If so, as an employer you are required to pay the employee.
It’s important to remember leave without pay does not mean termination of employment, and some other entitlements may still apply.
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What's inside
- Unpaid leave.
- Reasons for taking unpaid leave.
- Agreeing to unpaid leave.
- What is an employee entitled to during leave without pay?
- Leave without pay and annual leave.
