Home » News » New labour laws require payment for unused vacation time.

Share This Post

Featured News / HR Trends / Statutory Compliance

New labour laws require payment for unused vacation time.

New labour laws require payment for unused vacation time

A set of four labour laws that are about to go into effect will bring about significant changes in a variety of employment sectors. When these laws take effect, one notable provision states that employees cannot accrue more than 30 days of paid leave in a single calendar year. If an employee’s accrued leave days exceed this limit, it is the employer’s or company’s responsibility to compensate for the extra leave days.

In this context, one of the four labour laws, the ‘Occupational Safety, Health, and Working Conditions Code,’ defines ’employee’ as a person who does not hold a managerial or supervisory position.

The four labour laws in question—the Occupational Safety, Health, and Working Conditions Code, the Wage Code, the Industrial Relations Code, and the Social Security Code—have already been approved by parliament and notified by the government. Their official start date has yet to be determined.

Section 32(vii) of the 2020 Occupational Safety, Health, and Working Conditions Code allows employees to carry forward up to 30 days of yearly leave into the following calendar year. If the balance of annual leave at the end of the calendar year exceeds 30 days, the employee has the option to cash the excess leave and carry it forward for a maximum of 30 days into the following calendar year.

SHARE THIS POST:
Home
News
Members
Forum