Sick leave rule change warning

By Napthens

17 Aug 2015

Website

An employment expert is warning that a recent tribunal case has clarified the rules surrounding whether annual leave which remains unused due to sickness absence can be carried over.

Claire Haworth, solicitor in the Employment team at law firm Napthens, reports that currently, many contracts of employment state that annual leave must be taken in the year in which it accrues. However, if an employee is absent due to sickness they will be entitled to take annual leave during their absence or carry it forward into the next holiday year.

Now a high profile Employment Appeal Tribunal (EAT) case has clarified the position regarding the accrual of annual leave during a period of long-term sickness absence.

The EAT decided that the law governing these rights, the Working Time Regulations 1998 does not require workers to demonstrate they physically can’t take annual leave – it is enough that they are on sick leave and choose not to take their annual leave in that period.

The EAT also decided that the right to carry forward leave will not be unlimited, and workers must take accrued leave within 18 months of the leave year in which it accrues.

Claire said: “Employers should note that employees are not required to prove they are unable to take annual leave while they are absent on sick leave. It is their choice as to when, or if, annual leave is taken.

“If an employee is absent on sick leave, their annual leave will continue to accrue, but will be lost if not taken within 18 months following the end of the leave year in which it accrued. “This limitation may be a welcome decision for employers, as it helps to cap the potential accrual of annual leave, and limits the potential cost to employers if, or when, the employment of an employee on long term sick leave terminates.”

Enjoyed this? Read more from Napthens

Latest news

1

Multi-million pound investment in Blackpool's power network Multimillion-pound investment programme which will transform the electricity network in Blackpool

Multi-million pound investment in Blackpool's power network

21 Apr 2026

2

Quantum Base building 'momentum' with strong revenue figures Tom Taylor Quantum Base

Quantum Base building 'momentum' with strong revenue figures

21 Apr 2026

3

Drainfast announces further expansion with new Skelmersdale depot Drainfast

Drainfast announces further expansion with new Skelmersdale depot

20 Apr 2026

4

Date for Preston tram bridge opening Preston tram bridge

Date for Preston tram bridge opening

20 Apr 2026

5

CoolKit delivers at record levels CoolKit Vans

CoolKit delivers at record levels

16 Apr 2026

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
AI & Cybersecurity Summit
AI and Cybersecurity Logo
Summit
28 Apr 2026

AI & Cybersecurity Summit

Dunkenhalgh House , Blackburn Road, Clayton Le Moors, BB5 5JP

08:30 - 11:00

Sub36 Networking - Outdoor Elements
Sub36 Outdoor Elements Logo1920x1008
Networking
29 Apr 2026

Sub36 Networking - Outdoor Elements

Outdoor Elements, Pump House Dean Wood, Trapp Lane, Burnley, BB12 7JD

09:00 - 11:00

LBV128 May/June Magazine Networking Event
Canva - Mag Launch
Networking
19 May 2026

LBV128 May/June Magazine Networking Event

Colne Market Hall, Lancashire, BB8 0HS

08:30 - 10:30

Funding Summit
Funding Logo Canva Mid
Summit
17 Jun 2026 - 17 Jun 2026

Funding Summit

Village Hotel Blackpool

08:30 - 11:00

Sickness Absence: key actions for your business
Logo.jpg.jpg
LBV Hub Seminars
22 Apr 2026 - 22 Feb 2026

Sickness Absence: key actions for your business

The Longlands Hotel, Carnforth, LA6 1JH

08:00 - 10:00

Freelancer Meet-Up April
April Freelancer Instagram size.png.png
LBV Hub Networking
23 Apr 2026 - 23 Apr 2026

Freelancer Meet-Up April

Society1 Coworking Space, Preston, PR1 3LT

10:00 - 00:00

Vibe Coding: "Who owns what when no one wrote the code?"
April PTC Banner.png.png
LBV Hub Networking
28 Apr 2026 - 28 Apr 2026

Vibe Coding: "Who owns what when no one wrote the code?"

Society1 Coworking Space, Preston, PR1 3LT

18:00 - 19:30

Sales acceleration in this uncertain economic climate
Logo.jpg.jpg
LBV Hub Seminars
28 Apr 2026 - 28 Apr 2026

Sales acceleration in this uncertain economic climate

Lancaster & Morecambe College, Lancaster, LA1 2TZ

08:30 - 10:30

Manufacturing for Tomorrow Club
Example.png.png
LBV Hub Seminars
30 Apr 2026 - 30 Apr 2026

Manufacturing for Tomorrow Club

University of Lancashire, Preston, PR1 2HE

09:00 - 11:30

Dazzle & Decadence
Dazzle & Decadence TryBooking Header.png.png
LBV Hub Fundraisers
30 Apr 2026

Dazzle & Decadence

Ainsworth Jewellers, 57-59 Darwen St, Blackburn, BB2 2BW

18:00 - 20:00

Blackburn Beer and Gin Festival 2026
Blackburn Beer and Gin Festival 2026
LBV Hub Social
01 May 2026

Blackburn Beer and Gin Festival 2026

BB1 8NB

17:00 - 23:00

Society1 Open Coworking Day
LBV Hub Networking
06 May 2026 - 06 May 2026

Society1 Open Coworking Day

Society1, Coworking Space, Preston, PR1 3LT

10:00 - 16:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin