I have an employee that is about to leave.
When I looked at the Leave Owing report, it showed the employee is owed a certain number of days.
When I go into Termination Pay, it appears the number of days is different.
What is going on?
This is one of those questions that everyone asks once and can be difficult to explain verbally.
The following screen shows an estimate of how many days Melanie Jones is owed as a current employee.
The report shows that she currently has 22.04 days available.
She was given her annual entitlement of 20 days and has taken 3 of these leaving 17 days.
In addition, the Current Year Entitlement is 5.04 days.
A current year entitlement is an estimate of how many days an employee has accrued this year towards their next anniversary date.
An employee is not legally owed these days until they reach their next anniversary date, but most employers like to show the accrual counting upwards during the year.
Now we look at the screen when Melanie terminates her employment.
On the above screen the first thing that catches the eye is that the Full Year Days Owing is 17 days.
Clients sometimes see this and think "Why is it not 22.04 days, as it was on the Leave Owing report?".
The answer is that the 17 days are one half of the equation, namely, the number of days owing at the last anniversary date.
In addition, the employee receives 8% of Gross for the part year.
When an employee terminates, the current year entitlement to days is eliminated.
It is replaced by 8% of the gross earned from the last anniversary date.
In other words, it is the actual dollar value of the estimated days that had been accruing towards the next anniversary date.
This is specified by Section 25 of the Holidays Act 2003.
Payment For Sick Leave If Taken On A Public Holiday
You are not required to pay your staff time and a half if they call in sick on a public holiday they would have otherwise worked more..