From 24 July 2021, employees will be entitled to 10 days’ sick leave for each 12-month period of employment – that’s an increase of 5 days per annum.
Here’s a summary of the changes and some general advice.
- Sick leave will increase from 5 days to 10 days for each 12-month period of employment, after the required entitlement threshold has been passed (“Anniversary Date”).
- Employees will be able to carry over a maximum of 10 days’ sick leave not taken, as opposed to the current 15 days, to any subsequent 12-month period of employment (the maximum that can be carried over remains at 20 days).
- Existing employees (employed on or from 24 July 2021), become entitled to 10 days’ sick leave when their next Anniversary Date falls. Here’s an example:
Tanner is a current employee. Tanner’s Anniversary Date is 1 November. At 1 November 2021, Tanner becomes entitled to 10 days’ sick leave. Up to 1 November 2021, Tanner’s sick leave entitlement remains at 5 days per annum.
- Employers will need to update employment agreements to reflect these changes.
- If you’re a Payroll Administrator, you need to be aware of these changes and when they will apply.