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Home/Blog/Work Rights/Are you entitled to sick leave and annual leave on a working holiday visa?
Work Rights·5 May 2025·3 min read

Are you entitled to sick leave and annual leave on a working holiday visa?

Working holiday makers are entitled to leave in Australia, but how much depends on how you are employed. Here is what the rules say.

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Quick answer

Working holiday makers in Australia are entitled to leave under the same rules as Australian workers, but the entitlements depend on whether you are employed as full-time, part-time, or casual.

What do full-time and part-time employees get?

Permanent employees (full-time and part-time) accrue paid leave under the National Employment Standards (NES):

  • Annual leave: 4 weeks per year of full-time service (pro-rated for part-time)
  • Personal/carer's leave: 10 days per year of full-time service
  • Compassionate leave: 2 days per occasion
  • Long service leave: typically requires 7-10 years of service (not relevant for most working holiday makers)
  • Public holiday pay: paid at base rate if you do not work, penalty rate if you do

If you leave a job before using your accrued annual leave, you are entitled to have it paid out in your final pay.

What about casual employees?

Casual workers do not accrue paid leave. Instead, they receive:

  • 25% casual loading on top of the applicable award hourly rate
  • This loading compensates for the lack of paid leave
  • The casual minimum wage is $31.19/hour from 1 July 2025 (national minimum + 25%)
  • Most working holiday makers in hospitality, retail, and farm work are casual

If you call in sick as a casual, you are not paid for that shift. The trade-off is the higher hourly rate.

How do you tell which category you are in?

Check your letter of engagement or employment contract:

  • It should explicitly state full-time, part-time, or casual
  • If you have a fixed weekly schedule and consistent shifts, you may be part-time (even if the language says "casual")
  • If your shifts vary week to week with no guaranteed minimum, you are probably genuinely casual

The classification matters because:

  • Casuals miss out on paid leave (but get the loading)
  • Permanents miss out on the loading (but get paid leave)
  • Misclassification can mean you are underpaid

If your classification looks wrong on paper, get in touch with our team and we will help work out whether you are owed extra pay.

How is leave taxed?

Annual leave, when taken or paid out, is taxed in the same way as ordinary wages:

  • The 15% working holiday maker rate applies
  • Leave payouts at the end of employment are included in your final payslip
  • All leave payments must be declared in your tax return for the year received

If you receive a leave payout, expect it to appear in the income statement we pull when preparing your tax return.

What about long service leave?

Long service leave (LSL) entitlements typically require 7-10 years with a single employer and are very rare for working holiday makers. Most backpackers will not accumulate LSL. If somehow you have, the entitlement is paid out on departure and treated as taxable income.

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