Many asked, “Aunty, during my probation period, my boss told me to take unpaid leave because I am not allowed to use my annual leave till I am confirmed, is that legal?”
Unfortunately, it is.
1. While we earn annual leave from the day we start work, the Employment Act 1955 Section 60E(2) states, “The employer shall grant and the employee shall take such leave not later than twelve months AFTER the end of every twelve months continuous service…”
Since most probationary periods are within the first year, the company is allowed to deny us the right to utilise our earned annual leave during this period.
2. However, who wants to work at a company where we can’t go on a paid vacation for a whole year? Therefore, many companies incentivise employees by allowing them to utilise their leaves upon confirmation, even if they have not completed the twelve months of tenure.
3. Now, what if we tendered our resignation before completing twelve continuous months? Section 60E(1) also states, “….if he has not completed twelve months of continuous service with the same employer during the year in which his contract of service terminates, his entitled to paid leave shall be in DIRECT PROPORTION to the number of completed month of service…”
Hence, whatever annual leave days we have earned, the company has to kira-kira and give them back to us.
4. It’s also quite common for companies to extend probation period beyond the first year. However, in the second year, regardless of whether we are confirmed or not, we are allowed to utilise our annual leave.
So you see, sooner or later (normally), we still need to kira-kira balik all the annual leave that the employees earned from the day they started work. So, as HR, I also advised my boss, just let them take the leave je lah as long as kerja siap.
Gitu.
#BebelEmploymentAct #AnnualLeave #AuntyHR
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