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Unpaid Leave from Work: Everything You Need to Know - Legal Help Macedonia
Labor Relations

Unpaid Leave from Work: Everything You Need to Know

10 min read

Have you ever wondered if you can take a break from work without losing your job? Life brings unexpected situations – a sick family member, a desire to travel, building a home or simply a need for rest. This is exactly where unpaid leave comes into play.

In this article, we will uncover all the essential information – rights, obligations, limitations and practical steps related to unpaid leave in Macedonia.

What exactly is unpaid leave and why is it not just a worker's right?

Many people incorrectly believe that unpaid leave is something every employee automatically has a right to. The truth is different. According to Article 147 of the Law on Labor Relations, unpaid leave is not a right of the employee, but an authorization of the employer to approve such leave. Simply put – the employee can request it, but the employer is not obligated to approve it.

Within the legal framework, unpaid leave can last a maximum of three months during the calendar year. During that time, the employee remains in an employment relationship – the employment contract is not terminated, but no salary or compensation is received and there is no right to health and pension insurance during that period. The rights and obligations from the employment relationship are suspended.

It is also important to emphasize that the employer cannot unilaterally impose unpaid leave if the employee has not requested it. It is a two-way street – each party must participate voluntarily.

In which life situations can you request unpaid leave?

The law does not enumerate specific situations but refers to collective agreements. The General Collective Agreement for the private sector provides for unpaid leave in the following cases: care for a sick family member, construction or repair of a house or apartment, participation in cultural and sports events, congresses and conferences, as well as self-funded medical treatment.

The General Collective Agreement for the public sector adds one more basis: traveling abroad for family reunification. In addition, collective agreements at the branch level or individual employers can provide for additional cases.

A word of warning – the approved leave must be used exclusively for the purpose for which it was requested. Misuse carries serious consequences.

Health and pension insurance during unpaid leave

This is perhaps the most important practical aspect of unpaid leave. When the employee uses unpaid leave, the employer is obliged to deregister them from mandatory health and pension insurance through the Employment Agency. This means that during that period, the employee has no health protection through the employment relationship, and the time is not counted towards their pension record.

There is good news for pension records. According to the Law on Pension and Disability Insurance, the employee can independently enroll in the so-called extended pension insurance for the period of unpaid leave, up to three months. Through a written request to the Fund, with attached evidence, the employee pays the contributions themselves and in that way the period of unpaid leave is recognized in their pension record.

After the end of the unpaid leave, the employer is obliged to re-register the employee in mandatory social insurance. The employment relationship continues without the need for a new employment procedure.

Can the employee work for another employer during unpaid leave?

This is a question many workers ask, especially during the summer period. The answer is clear: no. Although there is a theoretical argument that the suspension of rights and obligations opens space for another employment relationship, the legal framework is unambiguous.

The employee during unpaid leave is still in an employment relationship with their primary employer. The employment contract is valid. Re-registration after the absence occurs without a new procedure – this in itself confirms that the employment relationship never ended.

If the employee nevertheless gets employed by another employer and performs the same or similar work, this can be qualified as competitive activity. The employer can charge the employee for the damage caused by such behavior. In addition, the employer can initiate disciplinary proceedings and terminate the employment contract due to unjustified absence.

Step by step: How to properly submit a request for unpaid leave?

The process of approving unpaid leave follows clear logic. First, the employee submits a written request to the employer. Although the law does not prescribe a mandatory written form, it is strongly recommended – it proves that the request was submitted and protects both the employee and the employer.

Then, the employer makes a decision – positive (approval) or negative (rejection). The decision is made in accordance with the needs of the work process. Upon approval, the employer deregisters the employee from mandatory social insurance and records the suspension of the employment relationship.

After the end of the unpaid leave, the employer re-registers the employee. The employee is obliged to return to work – otherwise it is considered a violation of work order and discipline. Important note: the employer has no obligation to accept the request and makes each decision independently.

Unpaid leave is a useful tool when life requires adjustment. However, in order to use it correctly, it is necessary to know the rules of the game.

Talk to your employer in advance, submit the request in writing, and do not forget to protect your own rights through the institution of extended pension insurance. That way, both you and your employer will be on the safe side.

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