annual leave/paternity leave
good morning. newish to MYOB Business Payroll NZ - one of my employees is on paternity leave, returning to work 13 Jan. (which is also her anniversary date) her annual leave has been accruing while on paternity leave, apparently this is how MYOB do it. I've been told that it accrues at $0 rate while on pt leave. To me this means she's had 6 months pt leave therefore accrued half her 4 weeks annual leave - when she wants to take annual leave not long after she's back to work in January, how do I apply this two weeks leave at $0? Do I explain to her that as the leave has accrued while she's been on pt leave there is no value the two weeks accrued?
If she hadn't been on pt leave then her 4 weeks a/l would be applied 13 Jan which I understand, what I don't understand is she has received 2 weeks a/l she is not entitled to. Am I right or wrong?
please help, many thanks.
Hi dee1962,
Employee is entitled to leave accruals even during arental/maternity leave. And yes you are correct, the leave accrued value will be zero unless it is the employee's leave anniversary date or they have passed their leave anniversary date, at which point their current leave available will be topped up. This information can be viewed by navigating to Payroll > Employees > Select employee profile > Leave > Annual holidays > Current leave available.If the leave anniversary date has not been reached, the leave accrued value will be reflected in the estimated leave advance. The estimated leave available is simply the difference between the current leave available and the leave accrued.
For final pay, the system will automatically calculate the values. On the review/breakdown page, the leave accrued or estimated leave in advance will be paid out at 8% of their total value. For regular pay, including leave, the employer has the discretion to deduct leave accrued hours if the employee lacks balances in their current leave available. This deduction will be taken from their accruals and will affect the amount that rolls over to the next leave anniversary.
You can also visit this help articles for more information.
Processing a final pay
Paying leave
Leave calculations
I hope this helps!
Regards,
Earl
