8.11 Sick Leave

A person may access their civilian leave entitlements (i.e. sick/Defence Service Sick Leave or recreation/holiday leave) as a result of their accepted condition. The use of this leave entitlement may be compensated.  

The AE of the person will be equal to their gross earnings minus the value of the leave taken as a result of the accepted condition (i.e. the earnings from accessing the leave is excluded from AE). The hours of paid leave should also be excluded from calculations. There must be medical evidence to substantiate the person’s claim that the leave was due to the accepted condition.

If a person accesses sick leave for a condition for any other non-accepted condition, the earnings and hours of that leave continue to be held in calculations.

This policy also applies to those former members who are working in the Public Service. Any concern that removing the paid leave from gross earnings in order to calculate AE will result in a 'doubling up' of Government payments is misplaced. The Commonwealth does not pay for the leave taken by this person. Rather, the person pays for this leave by making use of their leave entitlement. By taking the leave for an accepted condition, the person is unable to use this leave for anything else.

When a person is paid Defence Service Sick Leave (DSSL) or War Service Sick Leave by their civilian employer due to an accepted condition, the use of this leave entitlement may be compensated through incapacity payments. DSSL (or War Service Sick Leave depending on the wording in the Enterprise Agreement) is not a compensation payment, it is a leave benefit provided by the civilian employer as part of their enterprise agreement and the person is able to receive both payments for the period. 

Source URL: https://clik.dva.gov.au/military-compensation-mrca-manuals-and-resources-library/incapacity-policy-manual/8-ability-earn-and-actual-earnings/811-sick-leave

Last amended