Centennial Northern Mining Services Pty Ltd v Construction, Forestry, Mining & Energy Union (No. 2)  FCA 136
This matter has been widely reported, so I will be brief. Fundamentally the Federal court found on analysis of the prevailing EBA and past and present fair work acts, that:
“In my view, this lends support to the argument that s 90(2) (unlike s 90(1)) is not confined to a statement of a minimum obligation, but is a statement to the effect that an employee should not suffer a reduction in the value of unpaid annual leave if employment comes to an end while paid annual leave remains untaken.”
This decision obviously turns on the facts on the wording of an EBA in place; but taken at its narrowest interpretation, a departing worker should be paid out the annual leave at the rate they would have earned if they had continued working.
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