Full-time employees are entitled to 42 days of annual leave each year.
This means they are entitled to 6 weeks of annual leave.
The 6 weeks include:
- 4 weeks from the National Employment Standards (NES annual leave)
- an additional 2 weeks provided under clause 23.4 of the Award (additional award annual leave).
Part-time employees are entitled to a pro-rata entitlement based on their ordinary hours of work.
An employee can take 2 rostered days free of duty with their annual leave. The 2 days can be taken either:
- immediately before or after the period of leave
- one day before and one day after the period of leave.
Accumulation of annual leave
The 4 weeks NES annual leave accumulates progressively over the year based on the employee’s ordinary hours of work.
The 2 weeks additional award annual leave becomes available to an employee at the end of a 12-month period of service.
Rate of pay for annual leave
An employee is entitled to be paid their full salary while on annual leave.
In addition, for the first 4 weeks of annual leave, an employee is entitled to the higher of:
- an annual leave loading of 17.5% of the employee’s salary including allowances
- the employee’s actual salary or wage inclusive of allowances and additional amounts.
The additional amount for the first 4 weeks of annual leave doesn’t apply to employees engaged in aerial application operations.
Using annual leave
The number of ordinary hours an employee is absent from work while on annual leave is deducted from their total accumulated annual leave balance.
Annual leave must be taken at a time mutually agreed between an employer and employee.
Annual leave will normally be granted and taken within 12 months from when the leave becomes available, or alternatively, within 15 months from the start of any previous leave taken.
Unless otherwise agreed between an employer and employee, annual leave will:
- be taken in no more than 2 periods annually
- start on a Monday.
An employer must not unreasonably refuse a request by an employee to take paid annual leave.
Public holidays and annual leave
If a public holiday falls during an employee’s 4 weeks NES annual leave, they’re taken not to be on annual leave. Their employer can’t deduct from their annual leave balance for that public holiday.
An employer may deduct annual leave on a day that’s a public holiday from an employee’s 2 weeks additional award annual leave balance.
However, this would require:
- keeping track of which balance of annual leave is being used at what time, and
- applying different rules for deducting leave accordingly.
This may be difficult to administer in practice. Employers who are considering this option should seek independent advice about how to set up their systems.
Example: public holidays during annual leave
Aubrey is a pilot. His employer has set up a payroll system that separates NES annual leave and additional award annual leave.Aubrey agrees with his employer to use his 4 weeks NES annual leave in November. There’s a public holiday on a day that Aubrey would normally work during his leave period.Aubrey is paid at the base rate of pay for his ordinary hours of work on the public holiday and no deduction is made from his annual leave balance for this day.On 30 December Aubrey completes another year of service with his employer and his 2 weeks of additional award annual leave becomes available to him.Aubrey agreed with his employer to take his 2 weeks of additional award annual leave during January. A public holiday falls during his leave period.Aubrey is paid for his base rate of pay for his ordinary hours of work on the public holiday. As the public holiday falls during Aubrey’s additional award annual leave, annual leave is deducted from Aubrey’s annual leave balance for that day. Taking the 2 weeks means Aubrey has used his full award annual leave entitlement.
Proportionate annual leave on termination
When an employee’s employment ends, they are paid for any accrued but untaken NES annual leave, at the rate of pay they would receive had they taken the leave.
Employees also get:
- payment for the unused additional award annual leave they’ve accumulated for each completed year of service
- a proportionate amount of 1/365th of their 6 weeks annual leave entitlement for each completed day of an incomplete year of service
- any applicable leave loading for the first 4 weeks of leave each year.
Employees engaged in aerial application operations may have different entitlements on termination of employment. Please contact us if your question relates to entitlements for these employees.
Example: Proportionate annual leave
Max was employed as a full-time pilot between 1 March 2023 and 8 November 2023, a total of 252 days.Max didn’t use any of his annual leave during his employment.For each completed day of employment, Max accumulated 1/365th of his entitlement up to a maximum of 6 weeks of annual leave in a year.When Max resigned, his employer calculated his entitlement and paid him for 4.14 weeks of annual leave, including annual leave loading for 4 weeks of that leave.
References
What to do next
- Find out about Leave
- Use our Pay and Conditions Tool to calculate your annual leave or sick and carer’s leave
- Ask our virtual assistant, Frankie, a question from our Contact us page.
- Find out about Other workplace relations help
