According to the law, all employers are required to provide employees with annual paid leave. The rules for calculating and paying vacation pay are clearly regulated. But sometimes controversial situations still arise.
You need to know how to pay for vacation if the employee was on sick leave, so as not to make a mistake in the calculations.
General rules for calculating vacation pay
For calculating vacation pay, the average earnings for the previous calendar year are taken. Income includes wages, bonuses and other payments related to wages. The calculation does not include the amount of sick leave payments, vacation pay and other compensation payments that are not related to work. The total income received for the year is divided by the days actually worked. The average number of calendar days in one month is considered as 29.4, that is, if a person has worked a full year, this indicator will be 352.88. The periods of vacations, absenteeism, sick leave and others when the person was absent from work are subtracted. In this case, the average number of calendar days is calculated proportionally. That is, they divide the actual earnings by the actual hours worked.
How sick leave affects the amount of vacation payments
It is generally accepted that missing work due to illness is bad and unprofitable for the employee. But actually it is not. The first applies only to young specialists with little work experience, since according to the rules, workers with less than 5 years of experience are paid 60% of the allowance, from 5 to 8 years - 80%, over 8 years - 100%. Employees who have worked for more than 8 years retain 100% of the average earnings, and no one has the right to reduce this amount. If you have a "white" salary, then going on sick leave will be painless for you, this is the essence of state social insurance.
The sick leave does not in any way affect the amount of vacation pay, since periods of illness are deducted from the calculation, like the monetary sick leave payment.
If a person has just left after an illness and is supposed to go on vacation, then the calculation procedure remains standard, as does the payment period (three days).
Upon dismissal, each employee can receive compensation for unused vacation, provided that this right is not used.
Calculation rules are the same as for vacation pay. This payment is due to people who have worked in the company for 15 days or more. The time of illness is included in the period when calculating this compensation. Also, a situation may arise that the employee has “overshadowed” the vacation he is entitled to, in the calculation of 28 days of vacation for one year of work. In the event of a sudden dismissal of such an employee, the organization will have to withhold the amount of overpaid vacation pay. To avoid such situations, it is advisable to evenly draw up a vacation schedule and track the vacation time of each employee individually.
