Organisations Are Letting Their Employees Sit On Unused Cash

Before reading this article, I suggest you pull up your most recent payslip.

Now that you have it in front of you, if you have more than 152 hours of leave accrued you could be sitting on a goldmine without even realising it.

Around 30% of you have accumulated excess leave, contributing to what we believe is a staggering $4-8bn per year of deadweight liability on company balance sheets in Australia. Yes, you read that right – your annual leave is not just a break from work; it’s a potential windfall waiting to be claimed.

The Fair Work Ombudsman allows every employee* the right to cash out their annual leave on any balance above 152 hours (20 days). For example, if you have 172 hours of annual leave accrued, you can cash out up to 20 hours. This opens up an avenue for you to turn your unused leave into much-needed cash, offering a financial boost when you need it most.

However, there are some regulations to consider. Annual leave cashing-out is limited to 10 days or 76 hours per 12 months per person. While this may seem like a constraint, it ensures that you still retain a substantial balance to enjoy some well-deserved time off.

Subi Research indicates that the average leave balance sits at approximately $2,000-3,000 per eligible person, and for some, far higher. Imagine what you or your employees could do with that extra cash – pay off bills, take a dream vacation, or invest in hobbies.

Checking your annual leave balance should become a regular practice, just like checking your bank account. In a time when your employees need more cash, give them the opportunity to cash out. It doesn’t have to be a burden on the business with a tool like Subi.Your annual leave balance stands as an untapped resource - so take control of your financial well-being in 2024. Check your balance today and unlock the hidden treasure within – your annual leave.

Learn more about Subi as an employee here or if you’re a business, book a demo with us now about Subi’s platform to enable your employees to draw their leave instantly without impacting cashflow.