New Employment Leave Act: Simplified Leave Payments for Employers and Employees

Cabinet has approved the repeal of the Holidays Act 2003 and its replacement with the Employment Leave Act, aiming to simplify leave entitlements for both employers and employees. The key changes include a shift to hours-based accrual for annual and sick leave, pro rata sick leave entitlements, and a Leave Compensation Payment system for casual employees and additional hours worked. The reforms also address issues related to parental leave, family violence leave, mandatory pay statements, and cashing up annual leave, with a 24-month implementation period planned post-legislation passage.