Annual Leave and Insurance Premiums

I have accumulated 5 weeks of annual leave and my employer is asking to take 2 weeks leave within next one month to reduce the balance. They are saying they get charged premiums if I don`t take my leave and they want to avoid unnecessary insurance expenses.

Do you know what expenses are they referring to?

I also don`t get paid any leave loading so very pissed off re they are forcing me to take leave.

Comments

  • +1

    If you want to take a chunk of leave, why not book it now? Even if it's scheduled for months away, if you have a plan, they can't do too much about it.

  • +1

    For occupational health reasons workers in general should take a minimum of two weeks leave each year. Having time away from the workplace reduces stress, reduces injuries, and increases productivity.

    The rest of your answer lies in your award. Does your Award allow accrual of annual leave? Some don't but most allow around two years at a time before requiring you to clear leave.

    You may be required to clear leave during a planned closure. Ask your Union or Fair Work to provide yo with information on your Award.

    • Check contract but some employers do not close except public holidays.

  • +1

    Check your conditions of employment, it may dictate about asking you to have leave if you've accumulated to much.

  • I am covered by Banking, Finance and Insurance Award 2010. The contract says that my annual leave is in accordance with Fair Trading laws and there is no mention of leave accumulation.

    • Does this clause apply for you? If so, you are not obliged to take it just yet.

      24.5 Requirement to take leave notwithstanding terms of the NES

      An employer may require an employee to take annual leave by giving at least four weeks’notice in the following circumstances:
      
      (a) as part of a close-down of its operations;or
      
      (b) where more than eight weeks’leave is accrued.
      
      • Yes I read it as well few minutes ago. I don`t have 8 weeks so the employer should not force me.

  • Maybe your employers business insurers get nervous about lots of employees never taking leave, because if you quit tomorrow, the employer has to pay it out as cash.

    If a few of you quit at once, that could land them in legal trouble when they can't pay, perhaps?

    What do you mean by leave loading? Annual leave is paid leave.

    • This sort of thing. Accrued holiday leave is like a debt to the business. They are required to pay you out when you leave.

  • I'd bet it's purely to reduce the financial liability they have on the books before the end of financial year.

    I work with a lot of people with 10/15/20 years in their jobs, and they're constantly being hounded around this time of year about making a dent in the vast amount of annual leave and long service leave they've accrued. It stays on the books and makes accountants very nervous.

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