Unpaid leave can be a godsend for employees who want to take an extended trip or a sabbatical. But what are the rules and consequences of taking unpaid leave? In this article, we will discuss the most important aspects of unpaid leave and what to look out for as an employee and employer.
Forms of Unpaid Leave
There are two forms of unpaid leave established by law: parental leave and long-term care leave.
Parental leave: Employees who have had a child may take up to 26 weeks of parental leave until the child is 8 years old. The first 9 weeks are paid, provided the leave is taken during the child's first year of life. The remaining weeks are unpaid, unless other arrangements are made in the collective bargaining agreement or employment regulations.
Long-Term Care Leave: Employees caring for a long-term or life-threateningly ill loved one can take long-term care leave. In a 12-month period, an employee may take 6 times the working hours per week as leave. This leave is basically unpaid, but other arrangements can be made.
Approval of Unpaid Leave
Employers may refuse parental leave and long-term care leave only if it is not possible due to compelling business or service interests. For other forms of unpaid leave, such as volunteer work or a long trip, the employer may deny the request. It is important to check the collective bargaining agreement for agreements on unpaid leave and to be flexible whenever possible. A good conversation between employer and employee can help explore options.
Sickness during Unpaid Leave
In principle, if an employee becomes ill during paid parental leave, the leave continues. The employee can ask for the leave to be suspended or terminated, which the employer can refuse if there are compelling business interests. In case of illness during long-term care leave, the decision to terminate the leave is often made by mutual agreement. For other forms of unpaid leave, it is wise to make prior arrangements about what happens in case of illness.
Vacation days and unpaid leave
In the case of unpaid parental leave, the employee does not accrue vacation days. In the case of paid parental leave and long-term care leave, the employee does accrue statutory vacation days. Other forms of unpaid leave do not accrue vacation days because no pay is received.
Pension accrual and Unpaid Leave
Pension plans vary by industry and company. It is important to consult the pension insurer or pension fund when requesting unpaid leave and discuss the implications with the employee.
Conclusion
Unpaid leave allows employees to take time off for personal goals, such as travel or caring for a loved one. It is important to clearly understand the rules and consequences and make clear agreements between employer and employee. By being flexible and communicative, both parties can find an appropriate solution.
Source
This news item is based on an article from Salary Vanmorgen published on March 18, 2025. For more information, see Salary Morning Unpaid leave, what to watch out for?- Salary Morning.