Notice Periods When You Resign in Australia (and Final Pay)
How much notice must you give when you resign in Australia? Learn what your award says, what is in your final pay, and your rights.
11 min read
So you have decided to move on. Congratulations, scary as it feels. Now comes the part that trips up almost everyone: the notice period. How much do you have to give? What happens to your annual leave? When does your final pay land?
Understanding your notice period when you resign in Australia matters, because getting it wrong can affect your final pay, your reputation and occasionally your legal standing. The good news: it is not as complicated as it looks once you know where to look. This guide walks through the whole picture, in plain English. It is general information only, not legal advice.
๐ฏ The essential: The notice YOU give when you resign is set by your award, enterprise agreement or contract (commonly 1 to 4 weeks), NOT the NES. The NES scale is what your EMPLOYER must give when THEY end your job. Your final pay includes unused annual leave (paid out), but sick leave is not paid out. Final pay is usually due on your last day or within about 7 days. Always check your own award or contract.
How much notice you must give when you resign
There is no single universal resignation notice for every Australian worker. The notice you must give is set by:
- Your modern award (the industry or occupation award covering your role)
- Your enterprise agreement (if your workplace has one)
- Your employment contract (often 1 to 4 weeks, sometimes longer for senior roles)
If none of those specify a resignation notice, a โreasonable noticeโ standard may apply, assessed case by case. In practice most awards set employee notice at 1 to 4 weeks, often tied to length of service. The single best thing you can do: look up your award or agreement on the Fair Work Ombudsman website. It takes about five minutes and removes the guesswork. And do not assume it matches the NES employer scale (next section): confusing the two is the most common mistake.
The notice your employer must give you (NES)
The National Employment Standards (NES) set the minimum notice your employer must give (or pay in lieu of) when they end your employment. This is not the notice you give when you resign.
| Continuous service | Minimum notice from your employer (NES) |
|---|---|
| Up to 1 year | 1 week |
| More than 1 year, up to 3 years | 2 weeks |
| More than 3 years, up to 5 years | 3 weeks |
| More than 5 years | 4 weeks |
| Over 45 and at least 2 years' service | Add 1 extra week to the above |
So a 47-year-old with 4 years of service is owed at least 4 weeks (3 for the service band, plus 1 for age). Many awards happen to set employee resignation notice at similar periods, but that is a coincidence of structure, not the same rule.
What is in your final pay
Your final pay should include everything you have earned and accrued:
- Outstanding ordinary wages up to and including your last day
- Accrued but unused annual leave, paid out in full (a legal entitlement, not a favour), plus any applicable leave loading
- Long service leave, depending on your state or territory and length of service
- Redundancy pay, if your role is genuinely redundant and you are eligible
The common surprise: accrued personal/sick leave is generally NOT paid out. Those sick days you never took do not convert to cash, they simply expire. Annual leave is the opposite: it is paid out. See our guides on annual leave payout and sick leave.
When your final pay must be paid
Your employer cannot sit on your final pay indefinitely. It should generally be made on your last day, or as soon as reasonably practicable after. Many modern awards go further and specify within 7 days of your last day, though your award or agreement may differ. If it is late, raise it with your employer first; if that does not resolve it, the Fair Work Ombudsman can help.
Working your notice, pay in lieu, and garden leave
- Working your notice is the default: you give notice, work through it, and finish on the agreed date.
- Pay in lieu of notice: the employer pays out the notice period instead of having you work it, and employment ends sooner.
- Garden leave: you stay employed and paid, but are not required (or allowed) to come in, often to protect client relationships or confidential information. You remain an employee until the notice ends.
- Annual leave during notice: by agreement between you and your employer, you may be able to take annual leave during the notice period. It is not automatic.
Practical tips for resigning well
- Resign in writing and keep a copy: it creates a clear record of your notice start date.
- Check your contract first for the required notice, handover obligations and any post-employment restrictions.
- Watch for restraint / non-compete clauses, which are separate from notice and may limit your next role. Enforceability varies, so get advice if unsure.
- Hand over professionally: document your work and brief your replacement. Your reputation follows you.
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โ Frequently asked questions
How much notice do I have to give when I resign in Australia?
+
It depends on your modern award, enterprise agreement or employment contract; there is no single universal answer. Most awards set resignation notice at 1 to 4 weeks, often based on length of service. Check your award or contract via the Fair Work Ombudsman for the exact amount that applies to you.
Is the notice period the same as the NES notice of termination?
+
No, and this is a common mix-up. The NES notice of termination scale sets the minimum notice your EMPLOYER must give when they end your employment. It does not automatically set the notice you must give when you resign, which comes from your award, agreement or contract.
Do I get paid out my annual leave when I resign?
+
Yes. Accrued but unused annual leave must be paid out as part of your final pay when employment ends, whether you resign or are let go. Annual leave loading may also apply, depending on your award or agreement.
Is sick leave paid out when I leave a job?
+
Generally no. Accrued personal/sick leave is not paid out when employment ends, whether you resign, are made redundant, or are dismissed. Those unused sick days do not convert to cash.
When should I receive my final pay?
+
Final pay should generally be made on your last day of employment or as soon as reasonably practicable after. Many modern awards specify within 7 days. Check your award or enterprise agreement for the timeframe that applies to you.
Can my employer withhold pay if I don't give enough notice?
+
This is a complex area. Some awards or contracts allow an employer to withhold an amount equivalent to the un-served notice, but it is subject to strict rules and depends on your specific situation. If you are concerned, check with the Fair Work Ombudsman or seek advice before acting.
Keep reading
๐ Recommended reading
The Barefoot Investor
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The Barefoot Investor
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Australia's best-selling money book ever. A simple system for accounts, budgeting, debt and a real emergency fund in one.
Making Money Made Simple
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Making Money Made Simple
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On Your Own Two Feet
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Some links above are affiliate links. If you buy through them, Snowball Invest may earn a small commission at no extra cost to you. We only recommend books we'd suggest anyway.
Sources
This article is general information only, not legal or financial advice. Your entitlements depend on your specific award, agreement and contract. Always check the Fair Work Ombudsman or seek professional advice for your situation.
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General information only. This article is educational and does not constitute personal financial advice. It does not account for your circumstances. Consider your own situation and seek advice from a licensed adviser before acting. Read our full disclaimer.
Timothy Hirou Gaschereau
Founder of Snowball Invest, not a financial adviser.
I write about what I'm learning myself, because nobody ever taught us how to take control of our own money. It's a skill, not a mystery, and it's never too late to learn it. The best day to start was yesterday, the second best is today.
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