I have an employee who has tendered on 20-Jun 2012. He’s on 2 months’ notice period. Hence, his official last day should be on 17-Aug 2012. (Based on 5 days work week) He has an Annual Leave Balance of 19 days. We would like him to leave on 31-Jul 2012. Can I know how many days of annual leave have we got to encash him?
First, with resignation tender date on 20 Jun 2012, the employee’s official last employment day should be 19 Aug 2012 (2-month notice). It is his last physical day that falls on 17 Aug 2012, Friday.
Please note that if the employer initiates the employee to leave before his official last day, the employer has to pay the latter the remaining short notice.
Also, if the employee is not planning to offset his annual leave or applying any annual leave. The employer has to encash the employee the full annual leave balance of 19 days.
