What happens to sick leave when you resign?

Accrued sick leave

In Australia, sick leave entitlements can vary depending on the specific terms outlined in your employment contract and company policies, as well as relevant legislation. When you resign from your job, what happens to your accrued sick leave typically depends on the policies of your employer and the regulations of the relevant state or territory.

Here are some common scenarios regarding sick leave when resigning:

Payment for accrued sick leave

In some cases, employers may pay out accrued but unused sick leave upon resignation. This means you may receive monetary compensation for the sick leave you have accrued but not used. This practice depends on the company's policies and any relevant awards or agreements that apply to your employment.

Forfeiture of sick leave

In other cases, employers may have policies that state sick leave entitlements are forfeited upon resignation. This means you would not receive any payment for your accrued sick leave when you leave the job.

Transfer of sick leave

Some employers may allow employees to transfer accrued sick leave to a new job within the same company or to another company if certain conditions are met. However, this is not always the case and depends on the company's policies.

Notice period

Generally, when resigning from a job, you are required to provide a notice period as per your employment contract or industrial agreement. During this notice period, you may be entitled to use any accrued sick leave for genuine illness or injury.

Statutory entitlements

In Australia, the Fair Work Act 2009 provides minimum entitlements for sick leave. However, it does not specifically address what happens to accrued sick leave upon resignation. Therefore, the specifics of what happens to sick leave upon resignation can vary based on company policies, employment contracts, and industrial agreements.

It's important to review your employment contract, company policies, and any relevant industrial awards or agreements to understand what will happen to your sick leave entitlements when you resign from your job. If you're unsure about your entitlements, you can seek advice from the Fair Work Ombudsman or a legal professional specializing in employment law.

What happens to sick leave when you resign?

Are you looking for a job?

Are you looking for a job?

Now that you know what happens to sick leave when you resign, you should take a moment to check our current vacancies page.

At 11 Recruitment, we have a range of white-collar temp and perm jobs available. We're always on the lookout for top talent to place with our clients, so we encourage you to apply for any positions that are of interest.

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