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  • KK Partners

JobKeeper Payments & Leave Entitlement Accruals

A reminder that all employees (other than casuals) are entitled to paid annual leave. Temporary changes have been made to some annual leave entitlements because of the impact of coronavirus, however typically an eligible employee’s leave entitlements will not change under JobKeeper.


The amount of leave full time and part time employees were accruing before JobKeeper, will continue to accrue during JobKeeper.


Employees keep accumulating annual leave as usual if they:

  • Have been stood down

  • Have been given a JobKeeper enabling stand down direction

  • Have requested or been directed to take annual leave

  • Are on a type of unpaid leave that counts towards annual leave accrual, such as unpaid pandemic leave, or

  • Are on annual leave at half pay

If your nominated employees receiving the JobKeeper payments are set up on a hourly rate basis as opposed to an annual salary within your payroll software, the leave entitlements may not have been accruing accurately.


This is due the “JobKeeper TopUp” payments being classified as allowances and annual leave and sick leave does not accrue on allowances.


Please check your payroll software settings to ensure the leave accruals for employees are being calculated correctly.

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