There is a significant change in employee entitlements in relation to annual leave.

The Organisation of Working Time Act has been amended to allow for the accrual of annual leave for employees while they are on sick leave. This has been done under section 86(1) of the Workplace Relations Act 2015 which is proposed to come into force from 1 October, but the provision relating to annual leave accrual during periods of sick leave has been brought into force from 1 August 2015.

The new provisions mean that an annual leave carryover period of 15 months after a leave year now applies to employees who were on certified sick leave and could not therefore take their Statutory annual leave during the leave year to which it relates, nor during the statutory carryover period of the first 6 months of the following leave year. This applies whether the employee is remaining in employment, in which case the leave is taken as paid leave when the employee returns to work, or if he/she is terminating employment, in which case the leave is paid in lieu at termination.

If you have any queries on this change or wish to change any of your policies or procedures to in line with it please contact us and we will be happy to assist.