Similarly, determining whether salary in lieu of unpaid leave is an option is important. A given company may make annual leave mandatory, while another may allow some kind of "pay-to-stay" arrangement, e.g., a "bonus" double-payment for working through the holiday period or the opportunity to work instead of taking leave, but with only the normal salary.
In most organizations, annual leave that is not taken within the calendar year will be forfeited. Hence, employees are advised to plan ahead and work with one another in advance so that there is no backlog of leave at the end of the year. Similarly, supervisors, who have to balance the organization's work requirements and the personal interests of the employees, can occasionally encourage staff to plan leave, so as to avoid a year-end situation where every employee is clamoring to take annual leave.
The employee's annual leave entitlement is usually determined by the length of service as well as by position. In the past, there was the practice of allowing employees to convert their unconsumed annual leave into a form of pro-rated pay, though this is becoming less common as organizations nowadays prefer their employees to utilize their annual leave so as to promote a better work-life balance.
Because there are quite different possible annual leave scenarios, it is important to have a clear understanding of the standards, policies and options that prevail with any given employer. For example, some may allow extra pay in lieu of holidays, or normal work without extra compensation.
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