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Payments on termination

Madeleine Graham

Editor's message: When an employee leaves, the employer will need to work out what payments are due to the employee up to the termination date.

In addition to salary, the employee may also be entitled to accrued but untaken annual leave, owed a bonus, commission, overtime or work-related expenses.

If the employee has taken more holiday entitlement than he or she has accrued, the employer has the right to deduct the appropriate amount from the employee's final pay, provided that this has been agreed in writing in advance.

Madeleine Graham, managing editor, employment law

New and updated