Module 1 Objectives At the end of the session, participants will have an understanding of: The current facts about accrued annual leave in Australia The.

Module 1 ObjectivesAt the end of the session, participants will have an understanding of: • The current facts about accrued annual leave in

Australia• The impact of the issue on both employers and

employees• The types of employees who are typical ‘stockpilers’• Why staff stockpile their annual leave• The benefits of regularly taking annual leave• Leave liability within your company/organisation

Annual leave accrual affects all businesses across all industries

Annual leave accrued by Australian full-time employees:

129 million days$33.3 billion in wages

Source: Roy Morgan Single Source September 2011

The Facts

1 in 4 Australian full-time employees have 25+ days of accrued annual leave; and1 in 3 have 20+ days

Leave Stockpilers are most likely to be:

• Male and older• Longer serving employees who

typically manage staff• Parents of school aged or

older children• Empty nesters

Source: Roy Morgan Single Source December 2008

The Facts

Annual leave is often:• Not seen as a critical problem• Only reported annually• Put into the ‘too hard basket’• Perceived as the employees

issue not an organisational one • Seen to be ‘harder than it used

to be’ to plan and take:– No quiet time of year– More competition– Expectations raised for

individuals

The Facts

Impact - Employers

• Financial liability• Productivity• OH&S issues • Inhibits internal transfers• Staff retention• Adverse organisational

reputation• Potential increase in sick leave

Impact - Employees• Adverse impact on health and

well-being affecting productivity• ‘Burn-out’• Job satisfaction • Absenteeism• Commitment and morale

Workplace Barriers57% of stockpilers consider work related barriers prevent them from taking leave:• Workload before and after leave (30%)• Lack of resources for cover (26%)• Difficulty of scheduling leave when

desired (21%) or around projects (21%)• Other concerns:

– Meeting targets – Job security– Company culture – Management support

Source: Jones Donald Strategy Partners March 2009

Personal Barriers• 80% of stockpilers cite personal

barriers to leave taking– Availability of funds (40%)– Fitting around partner’s availability (28%)– Deliberate accrual for emergencies

(26%) or for a big trip (24%)

• Other concerns:– Family commitments– Not a priority at the moment– Time taken to plan a holiday

Source: Jones Donald Strategy Partners March 2009

Additional Barriers• Fear of redundancy• Fear of change• Don’t want to ‘rock the boat’• Desire to demonstrate value• Increased workloads• Leave seen as ‘Insurance

Policy’• Reduced workforce and

recruitment freezes

Source: Jones Donald Strategy Partners March 2009

Personal reasons

Active accruers (conscious stockpiling))

Passive accruers (sub-conscious stockpiling)

Work related reasons

Workaholic“I love my job”

Victim“They make it impossible”

Golden Goal“The big trip/break”

Martyr“No one else could do it”

Insurance Policy“My security blanket,

just in case”

Why do people stockpile leave?

Employer Benefits• Reduced financial liability • Risk management• OH&S• Increased productivity• Staff retention/employer of

choice• Increased morale• Workforce planning • Economy

Employee Benefits• Physical and mental well-being• Avoid burnout• Job satisfaction• Reconnection and relationships• Relaxation• New experiences• Seize the moment

Discussion Topic: Our Workplace

This slide can be tailored to questions specific to your organisation. Suggestions include:

• What do you feel is our work culture to taking annual leave? Do we encourage it? Is it seen as ‘too difficult’?

• Hold up a mirror! Do we demonstrate leadership in this space as managers?

• Do you review/know your staff leave balances? Do you know your own leave balance?

• Have you thought of the impact of leave stockpiling? On our bottom line – financially in terms of productivity and its impact on staff.

This slide should be tailored to specifically reflect your organisation's data

Why is this program so important?• Our current annual leave liability is X days or X dollars• X% of our staff have <10 days of accrued leave• X% of our staff have 11-20 days of accrued leave• X% of our staff have 21-30 days of accrued leave• X% of our staff have 31+ days of accrued leave

Discussion Topic: Our Workplace

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