Saturday

Leave Carried Forward

I would like to know what kind of annual leave policy do companies have regarding carrying your balance leave forward to the next year?

Basically, we are interested in finding out how much leave can an employee carry forward and what are the consequences if they are unable to utilise their leave in the required period? Do we have to pay them or they will just forfeit their leave and is this considered legal?

It is all depends on the company policy based on the business needs, the common practices are:-
1) Carried forward 50% to following calendar year
2) Carried forward 100% to following calendar year

The company has right to forfeit all annual leave uncleared. However, company usually help the employees to clear their annual by "force leave" and etc. Encashing the employees annual leave will not help to improve the situation but this will encourage the employees not to clear their leave in future.