Unused statutory leave can become a cash claim, but a valid statutory leave-use promotion procedure may affect the employer’s payment obligation.
Wage basis for the example
Article 60(5) refers to ordinary or average wages as specified in work rules. The worked formula here assumes ordinary wage. Check the applicable wage date, days eligible for payment, amounts already paid and the claim period for each grant.
The general rule
When statutory paid leave expires unused, payment for unused leave is generally calculated from ordinary wage, subject to the applicable law and facts.
Promotion procedure for longer-serving employees
A lawful leave-use promotion process requires written notices at specified times and an opportunity for the worker to designate leave dates. Merely sending a general reminder is not necessarily enough.
First-year monthly leave
Leave earned monthly before the first anniversary follows a different notice timeline. Check the statutory procedure and when each day expires.
When promotion may fail
If notices, timing or employer-designated dates do not satisfy the statutory requirements, a payment obligation may remain. Keep copies of notices and leave requests.
Reference formula
Unused leave pay = ordinary hourly wage × scheduled daily hours × unused days. Actual settlement can depend on the wage basis and whether the leave was validly promoted.