Yes.

Paid leave is part of an employee’s ordinary hours.

Ordinary hours are used to work out some award entitlements. For example, most awards say that time worked outside ordinary hours is overtime.

They’re also used to work out an employee’s accrued annual leave and personal leave.

Public holidays that fall on an employee’s normal workday also count as ordinary hours. This is the case whether the employee has the day off or works.

Example:

Jack is a full-time employee who works 8 hours each day Monday to Friday (40 hours each week). Under his award, he gets paid his hourly pay rate for 38 hours and overtime for the extra 2 hours.

Jack took annual leave on Wednesday. This day counts as part of his 38 ordinary hours, so he still gets overtime for the last 2 hours he works on Friday.

He also accrues annual leave and personal leave for his time off on Wednesday.