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In a major decision that will ease payroll and HR headaches for all employers, the High Court has overturned the controversial Mondelez decision on how paid personal leave accrues for permanent employees.

The High Court has affirmed the common-sense approach that all permanent employees are entitled to 10 ‘notional days’ leave per year.

Each day is calculated as 1/10th of an employee’s ordinary hours over a two-week period (1/26th of their total ordinary hours over the course of a year).

Daily variations to hours worked are irrelevant in determining entitlements.

For further clarification on this important change, please contact Workforce Guardian’s HR and employment law advice team (Login to use HR Advice Online or call our HR Advice Hotline on 1300 781 299).