As of the 21st of August 2019 the Federal Court of Australia implemented a change to how Personal leave (Paid sick & carer's leave) is to be accrued.


The changes are as follows

  1. Full-time and part-time employees are entitled to 10 working days of paid personal/carer’s leave for each year of employment.

  2. The leave protects those employees’ income when they are entitled to be absent from work due to illness or injury (or providing care or support to a family or household member who is ill, injured or suffering from an unexpected emergency).

  3. The leave must be calculated in working days, not hours. A working day is the portion of a 24 hour period that an employee would otherwise be working.

  4. An employee’s entitlement is expressly based upon time working for the employer and is expressly calculated in days.

  5. For every day of personal/carer’s leave taken, an employer deducts a day from the employee’s accrued leave balance. If an employee takes a part-day of leave, then an equivalent part-day is deducted from the employee’s accrued leave balance.

Additional Notes

Other important notes that relate to this change include

  • Leave balance capping is not permitted, any accrued leave balances will flow over to the next year.

  • An employee can take as much paid sick or carer's leave as they have accumulated.
    There is no minimum or maximum amount of paid sick or carer's leave that can be taken at a time.

  • As per item 4 above leave balances will need to be re-calculated and checked from the point of employment to ensure that the employees have the correct balance.


Adjustments to Employee Leave Balances

To recalculate employee personal leave balances please use the instructions below

  1. Determine the number of weeks since the employee started with the business, deducting any periods of unpaid leave that the employee took during this period to give you the total number of weeks of paid employment.

    Treat this as a decimal figure for this calculation use the calculation below to get this figure
    (Date as of the Last Payroll - Start of Employment + 1) / 7 = Weeks of Employment
    Weeks of Employment - Weeks of Unpaid Leave = Weeks of Paid Employment

  2. Divide the total weeks of paid employment by 5.2, this will give you the total accrual in Days for the employee over their period of employment.

  3. Convert the number of days to hours to be stored within ClockOn
    Days of Leave Accrual * Average Working Hours Per Day = Total Balance of Leave in Hours


From a ClockOn setting standpoint you will need to check the following;

  1. Check to confirm that the balance in the employee's leave profile is correct and update if necessary
    Leave Tab - Editing/Viewing Employee Leave Balances

  2. Check and update the rulesets and update the following

    On the Leave tab you will need to set the Accrual of Leave Full-time week option to equal the hours that the employee works over a standard week.

    On the Personal leave tab

    - Ensure that the Prorata up and down options are unticked

    - Ensure that the Cap total accrual balance at option is set to 0 hours

    - Set the Beyond 0 months accrues Hrs value to be that of 10 * an average worked day (For example if the employee works 8 hour days this should be set to 80 hours).
    For the other options on this screen, you will need to consult your award or governing body to determine their use.


For more information please visit the Fair Work documentation at
https://www.fairwork.gov.au/leave/sick-and-carers-leave/paid-sick-and-carers-leave