General

What does leave of absence without pay mean?

What does leave of absence without pay mean?

“Leave of absence without pay” means a period of time away from work for which employees are not paid.

What is the difference between leave without pay and leave of absence?

An employee absent on leave without pay does not accrue annual leave during that period of absence. Long service leave will continue to accrue while an employee is on leave without pay, as the employee’s continuity of service includes periods of unpaid leave.

Do you get paid when on leave of absence?

First of all, the leave of absence is unpaid. You don’t get paid during your leave, but your employer may be required to maintain health coverage and other benefits.

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Does leave without pay affect benefits?

LWOP, or leave without pay, may be used instead of paid leave for various purposes with supervisory approval. Extended periods of leave without pay may affect health and retirement benefits, future pay adjustments, and leave accrual, however.

Is it OK to take a leave of absence from work?

There are many acceptable reasons to take extended time off from your job, and some types of leave of absence, such as maternity leave, come with protections under federal law. But approving other leaves of absence, such as an extended vacation, may be up to the discretion of your employer.

How does a leave of absence work?

A leave of absence policy allows employees to take an extended period of time off from work. It can be voluntary (like a sabbatical or maternity leave) or involuntary (like a health problem or work performance issue). Some employers choose to pay their employees during a leave of absence, and others don’t.

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Can an employer refuse leave without pay?

Section 88(2) of the Fair Work Act 2009 (“FW Act”) provides that “the employer must not unreasonably refuse to agree to a request by the employee to take paid annual leave”. This correspondingly means employers are able to refuse requests for annual leave, if they have a reasonable basis for doing so.