Holidays may double

Push to include option of annual leave at half pay

Millions of Australian workers could double their holidays as unions and employers groups seek to have a new leave provision guaranteed.

But there’s a catch – they would need to take the additional annual leave at half pay.

The new workplace entitlement could be inserted into industry awards and is currently being considered by the Fair Work Commission.

The Australian Council of Trade Unions (ACTU) is one group pushing for greater flexibility on how workers take their leave.

“Having annual leave available to be taken at half pay can be a good option which gives workers who want to utilise it more time and flexibility to manage their caring responsibilities and balance work and care,” said ACTU Secretary Sally McManus.

“We would expect this request to be driven by the needs of the worker and given proper consideration by the employer. As with all leave it should be properly recorded, and it should be clear to the worker how this would impact any future leave and super contributions.”

However, the ACTU believes the ability to take leave at half pay would also need safeguards to ensure it wasn’t used to disadvantage employees.

One of the measures that would need to be included is that the double holidays at half pay be initiated by the employee and granted only at their request — rather than by employer directive. Another measure is that it could not be unreasonably refused by the employer.

The arrangement must also be recorded in writing and retained as an employee record, according to the ACTU.

Australian Chamber of Commerce and Industry (ACCI) workplace relations director Jessica Tinsley said the organisation supported the change as “commonsense” but warned employers would need to have the ultimate right to refusal.

“ACCI is supportive in principle of a variation to modern awards to permit an employer and an employee to agree to an employee taking twice as much annual leave at a proportionately reduced rate of pay,” she said.

“This proposal would be particularly beneficial for employees trying to balance work and caring responsibilities, especially where they have used up their own carer’s leave accrual.

“We know that employers who can provide flexibility for employees with caring responsibilities do, but this is a good example of where employers who try to help their employees by offering flexibility are being stopped from doing so by our unnecessarily rigid workplace relations system. This is a commonsense change.”

But Ms Tinsley said there would need to be a change on how the annual leave is approved.