Annual Leave question

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westerly

Registered User
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Hi All,


Have an issue and I’d appreciate any advice or views..


I have worked for the same company for a considerable length of time (10 years plus) Recently the company has entered Examinership. The period of examinership is nearly up and the company maybe forced to close.


Over the last few years I have carried forward a lot of unused annual leave from one year into the next . I know that one should only carry forward 5 days only but I’ve spoken to HR and I was told that this was a rule that they didn’t enforce. They felt it was up to each individual manager to manage this staff regarding their annual leave. I was never asked to use it. Dont get me started on that manager..


My question is, If the company goes into liquidation, would I be paid for the outstanding leave?


Thanks for reading.
 
You, as a member of staff, would be a preferred creditor so I would expect that untaken leave would be covered.
 
What does your contract of employment say? If a liquidator is appointed, he is going to come in and read the contracts of employment. I very much doubt he will be asking about any verbal agreements between staff and management.
 
Thanks for the responses guys. Re : the contract, I don't remember anything in it about a liquidator.
 
Liquidator/receiver appointment does not affect your contract of appointment. If you are required to take all or a minimum portion of your leave within each calendar year, this is what will determine your entitlement to pay for same!
 
Thanks Brendan,

In the event of a Liquidation, Is there any way that the company can turn around and tell me "Sorry Jack - We cant afford it"?

(This amount of leave would amount to several months wages..)
 
westerly said:
Thanks Brendan,

In the event of a Liquidation, Is there any way that the company can turn around and tell me "Sorry Jack - We cant afford it"?

(This amount of leave would amount to several months wages..)
Click to expand...

Mate the whole reason they are closing down is because they can't afford it! It is very likely that there will not be enough money to cover wages and redundancy and you will be told to make an application to social welfare to cover the shortfall. Here is their FAQ.
 
westerly said:
Thanks for the responses guys. Re : the contract, I don't remember anything in it about a liquidator.
Click to expand...

I would be very surprised if it did!!! What does your contract say about carrying over annual leave? Most contracts say you are not allowed to carry over annual leave from one year to another.

Steven
 
You asked a legitimate question, but the actual answer might not be what you want. If your employment is going belly-up, then approach the Receiver, Liquidator and plead your case. The worst they can say is "No."
 
If your contract states that you can only carry forward 5 days, then I suspect they will only pay out for 5 days of your carried over leave. That's assuming that you don't have anything in writing from HR or management to OK you carrying more than that.
 
Thanks for the replies Guys.

One other question. Some places have a "use it or loose it" policy when it comes to annual leave.

Some say its illegal?

Can anyone clarify?
 
westerly said:
Thanks for the replies Guys.

One other question. Some places have a "use it or loose it" policy when it comes to annual leave.

Some say its illegal?

Can anyone clarify?
Click to expand...
Citizen's information has good information on this.
The Working Time Act 1997 is the source for all information on this topic.
I agree with posters above; look at your contract. You will probably not get paid for the days you didn't take, just for 6 months worth of leave (see carry-over in the Citizens Information link above). If you are averaging less than 20 days a year then your employer has been breaking the law. You might have a case there but in the context of them going belly-up you are probably wasting your time.
I'm no expert though so I'm open to correction.
 
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