Employee annual leave 2026 — entitlement, plan and pay-out

Annual leave entitlement (20/26 days), planning, carry-over, pay-out on termination.

Every employee has annual leave — an employer obligation. Unused leave creates cost and PIP risk.

Entitlement

20 days — under 10 years' service, 26 days — from 10 years. Education counts: vocational 3, secondary 4, post-secondary 6, university 8 (max). First leave — 1/12 per worked month.

Leave plan

Employer creates annual plan by end of previous year, accounting for staff requests and business needs. Small employer may waive the plan.

Carry-over

Carry-over leave must be used by 30 September next year. After — PIP may fine. Unused leave at termination = monetary equivalent by holiday coefficient.

Leave is right and hidden cost. Danexis tracks leave and computes equivalents.