Benchmark WA Industrial Relations Case Database

Cashing out paid annual leave

doctrinal BOTH cashing_out_annual_leave branch: pay_entitlements
Statutory limits on cashing out: 50% cap per year, written agreement, no undue influence (s8(3) is a civil penalty provision under IR Act s83E). Federal equivalent under FW Act.
Statute Minimum Conditions of Employment Act 1993 (WA) — s8

Synthesis · 30 tagged cases

30 tagged decisions (21 as primary). Of primary decisions, the most common outcome is '(unspecified)' (17, 81%).

Outcome distribution

Outcomen%
Resolved (unspecified) 17 81%
For applicant granted 3 14%
Resolved partial 1 5%

By jurisdiction

Courtn
Fair Work Commission11
Fair Work Commission (Full Bench)9
Single Commissioner (WAIRC)3
Fair Work Australia (Full Bench, former)2
Industrial Magistrates Court1
AIRC Full Bench (former)1
High Court of Australia1
Full Bench (WAIRC)1
Fair Work Australia (former)1

Key articulated principles · 9

para 175 — from [2024] WAIRC 227 WAIRC — Full Bench
Section 25 of the Minimum Conditions of Employment Act 1984 (WA) only applies to annual leave that has accrued in a prior year; it does not apply to leave accruing in the current year, which is governed by clause 80 of the Agreement.
para 64 — from [2015] FWC 1044 FWC
Where an employment contract provides for a higher hourly wage rate as compensation for absence of leave loading entitlement, and this rate is genuinely paid above the award rate, the employee would already have been compensated for leave loading entitlement through operation of that clause.
para 124 — from [2020] WAIRC 990 Industrial Magistrates Court
Annual leave cannot be cashed out except in compliance with the modern award terms, which require a separate written agreement between employer and employee specifying the amount, payment, and date.
para 138 — from [2020] WAIRC 990 Industrial Magistrates Court
An oral agreement to cash out annual leave does not satisfy the statutory requirements under s 93(2) of the Fair Work Act 2009 (Cth) and cl 28.11 of the Award, which mandate a written agreement signed by both parties.
para 23 — from [2026] FWC 180 FWC
Expressing leave requests in hours rather than days is consistent with the enterprise agreement and legislative intent where 'day' has no consistent meaning for shift workers with variable daily hours.
para 180 — from None
Section 25 of the Minimum Conditions of Employment Act is not concerned with and does not apply to annual leave accruing in the course of an accrual year, as opposed to already accrued annual leave.
para 9 — from None
Loaded wage rates (incorporating penalty rates into a base rate) breach the National Employment Standards.
para 83 — from None
Cashing-out of leave provisions that do not conform with s.93 of the Fair Work Act may be of no effect and may not be remedied by undertakings, though this does not impede approval of an agreement on other grounds.
para 83 — from None
Cashing-out of leave provisions that do not conform with s.93 of the Fair Work Act may be of no effect and may not be remedied by undertakings, though this does not impede approval of an agreement on other grounds.

Leading cases · by citation count

CitationCourtRoleCited
[2016] FWC 2346 FWC primary 1
[2020] HCA 29 High Court secondary 12
[2024] WAIRC 227 WAIRC — Full Bench secondary 3
[2023] WAIRC 773 WAIRC — Single Commissioner secondary 3
[2016] FWC 525 FWC secondary 1
[2011] FWA 5491 FWA (former) secondary 1

All tagged cases · 30

CitationCourtRoleDateOutcomeCited
[2016] FWC 2346 FWC primary 2016-01-01 For applicant 1
[2026] FWC 180 FWC primary 2026-01-01 For applicant 0
[2024] FWC 1255 FWC primary 2024-01-01 0
[2020] WAIRC 990 Industrial Magistrates Court primary 2020-12-17 For applicant 0
FWC primary 2018-07-09 0
[2017] FWCFB 2098 FWC — Full Bench primary 2017-01-01 0
[2016] FWCFB 5874 FWC — Full Bench primary 2016-08-19 0
[2016] FWCFB 4392 FWC — Full Bench primary 2016-07-08 0
[2016] FWCFB 4525 FWC — Full Bench primary 2016-07-08 0
[2016] FWCFB 3953 FWC — Full Bench primary 2016-05-23 0
[2015] FWCFB 8408 FWC — Full Bench primary 2015-12-04 0
[2015] FWCFB 5771 FWC — Full Bench primary 2015-09-15 0
[2015] FWCFB 3406 FWC — Full Bench primary 2015-01-01 0
[2013] FWCFB 6266 FWC — Full Bench primary 2013-09-02 0
[2012] FWAFB 9086 FWAFB primary 2012-11-01 0
[2012] FWAA 7616 FWC primary 2012-08-28 0
[2010] FWAFB 9985 FWAFB primary 2010-12-24 Resolved 0
[2010] FWAA 5136 FWC primary 2010-07-13 0
[2009] AIRCFB 942 AIRCFB primary 2009-12-22 0
FWC primary 2004-07-22 0
(1999) 79 WAIG 1930 WAIRC — Single Commissioner primary 1999-06-16 0
[2020] HCA 29 High Court secondary 2020-01-01 For applicant 12
[2024] WAIRC 227 WAIRC — Full Bench secondary 2024-05-21 Against applicant 3
[2023] WAIRC 773 WAIRC — Single Commissioner secondary 2023-09-22 For applicant 3
[2016] FWC 525 FWC secondary 2016-01-01 For applicant 1
[2011] FWA 5491 FWA (former) secondary 2011-08-25 Against applicant 1
[2026] FWC 1529 FWC secondary 2026-01-01 For applicant 0
[2015] FWC 1044 FWC secondary 2015-01-01 Resolved 0
[2012] WAIRC 48 WAIRC — Single Commissioner secondary 2012-02-03 Resolved 0
[2025] FWC 1864 FWC mentioned 2025-01-01 For applicant 0