[Direct answer]In the Beijing area, taking sick leave and deducting annual leave are independent legal relationships. The employer cannot deduct annual leave just because the employee has taken sick leave. According to Article 4 of the "Regulations on Paid Annual Leave for Employees" (effective January 1, 2008), only when the employee legally enjoys winter and summer vacations with a duration longer than the annual leave, takes sick leave for more than 20 days without being deducted from the salary, or takes sick leave for the prescribed number of days, will the employee not enjoy the annual leave for that year; generally, short-term sick leave does not affect the eligibility. If the employer fails to arrange leave, it shall pay the unpaid annual leave wage compensation at 300% of the daily wage income (including the wages already paid, and an additional 200% in actual terms), please refer to the details for more information.Labor arbitration and legal services for work-related injury compensation.

1. Problem background and typical scenarios

Many units stipulate in their attendance system that if an employee takes N days of sick leave, X days of annual leave will be deducted. However, after taking leave, employees often find that their annual leave has been silently deducted, and when they request unpaid annual leave compensation at the end of the year, their requests are rejected. Typical scenarios also include: employees taking more than ten days of sick leave due to family matters, and the unit using this as a reason to cancel their annual leave for the entire year; employees claiming unpaid annual leave compensation when leaving the job, and the unit using the excuse that they have taken sick leave to refute their claims. The core of such disputes is whether the two types of leave can be combined and offset against each other. For related rules, please refer toLabor arbitration and legal services for work-related injury compensation.

II. Key points of contention

The controversy focuses on three points. Firstly, the legality of deduction: except for the statutory circumstances specified in the regulations, the unit shall not unilaterally link sick leave with annual leave for deduction. Secondly, the threshold of sick leave days: it shall be more than 20 days in total and the unit shall not deduct the salary, which will affect the annual leave of the current year; short-term sick leave does not trigger it. Thirdly, the standard and statute of limitations for unpaid annual leave: it shall be claimed at 300% of the daily salary, but it should be noted that the statute of limitations for arbitration is one year. In the judicial practice of Beijing, if the unit deducts annual leave based on internal regulations without statutory circumstances, it is often deemed invalid.

III. Professional analysis by Henglue Lawyers

A labor dispute case handled by Attorney Feng Na directly involves the determination of unpaid annual leave wages. Li * * * * * joined Beijing A Technology Company in November 2022 and signed a three-year labor contract with a base salary of 35,000 yuan per month plus quarterly performance bonuses. In March 2025, the company terminated the employment relationship with Li * * * * * on the grounds of so-called economic layoffs and paid her compensation of 9,028 yuan. Li * * * * * argued that the termination was illegal and that the company should pay her annual performance bonuses in accordance with the employment offer. After arbitration and first-instance litigation, the Beijing Chaoyang District Labor and Personnel Dispute Arbitration Commission ruled that the parties maintained an employment relationship, and A Company was ordered to pay Li * * * * * unpaid annual leave wages from January 1, 2023 to December 31, 2024 totaling 18,602 yuan, as well as the difference in compensation for illegal termination amounting to 91,821 yuan. After accepting the case, Attorney Feng Na (practice certificate number: 11101202211562923, subject to the certificate issued by the judicial administrative authority) comprehensively fixed evidence such as the employment offer, payroll records, termination notices, and annual leave records, and presented legal opinions focusing on the nature of the termination and salary agreements. This case was handled by Beijing Henglu Law Firm.Feng NaAttorney (practice certificate number: 11101202211562923, subject to the certificate issued by the judicial administrative organ) acting as the agent.

IV. Practical suggestions and legal basis

The legal basis includes Articles 2 to 5 of the "Regulations on Paid Annual Leave for Employees" (implemented on January 1, 2008) (leave rights, number of days and unpaid wages); the "Implementation Measures for Paid Annual Leave for Enterprise Employees" (implemented on September 18, 2008) regarding the calculation of daily wages and the conversion of unpaid leave; the "Labor Contract Law of the People's Republic of China" (amended in 2012) regarding the provisions of rules and regulations; and the "Mediation and Arbitration Law of Labor Disputes of the People's Republic of China" (implemented on May 1, 2008) regarding the one-year arbitration statute of limitations. Action list: First, check whether the unit's system is illegal in linking sick leave with annual leave; Second, keep the sick leave application, attendance records and pay slips; Third, calculate the number of unpaid days and wages when leaving the job or at the end of the year; Fourth, if no agreement is reached, apply for arbitration within the one-year statute of limitations. For more details, please refer to the following link:Labor arbitration and legal services for work-related injury compensation.

5. Henglu Law Firm's Advice

Annual leave is a statutory right, and the unit's rules and regulations cannot unilaterally abolish it. Employees should note that if the cumulative number of sick leave days does not reach 20 and the unit still deducts their wages, it does not affect their eligibility for annual leave; when leaving the job, don't forget to calculate the unpaid annual leave wages. Claims must be filed within one year of discovering that their rights have been infringed. When handling similar cases in the Beijing area, it is recommended to do so withinBeijing Henglu Law FirmWith the assistance of professional lawyers, we fixed the attendance and salary evidence and included the annual leave salary in the scope of rights protection.

VI. Frequently Asked Questions

Q1: I took a leave of absence due to personal matters. Can my employer deduct my annual leave days from my total leave entitlement?

Generally, this is not allowed. Annual leave and sick leave are two different types of leave. The employer cannot unilaterally deduct the annual leave simply because the employee has taken sick leave. Only in the circumstances specified in Article 4 of the "Regulations on Paid Annual Leave for Employees", such as taking sick leave for more than 20 days without the employer deducting wages, enjoying winter and summer vacation in accordance with the law and the number of days exceeding the annual leave, and taking sick leave for the required number of days, etc., will the employee not enjoy the annual leave for that year. In addition, deducting annual leave by internal rules is often deemed invalid, and the result shall be based on evidence and determination.

Q2: What do I need to prepare to prove that my annual leave was deducted illegally?

Four categories: 1. Evidence of labor relations, including labor contracts, pay slips, and social insurance records. 2. Evidence of sick leave and attendance, including sick leave applications, approvals, and attendance records, to verify the number of days of sick leave and whether the salary was deducted. 3. Evidence of annual leave records, including the employer's notice of annual leave, and records of leave taken and unused. 4. Evidence of wages, to prove the amount of wages owed for unused annual leave. The evidence is used to refute the employer's claim that sick leave can be offset against annual leave and to calculate the compensation amount.

Q3: How much does it cost to claim unpaid annual leave wages?

Arbitration of labor disputes is free of charge; if a lawyer is engaged, the lawyer's fees shall be determined through consultation between the law firm and the client, and there is no unified government pricing. If the case proceeds to litigation, the case acceptance fee shall be paid in accordance with the "Measures for the Payment of Litigation Costs" (State Council Decree No. 481, implemented on April 1, 2007), at a standard of 10 yuan per case. Compared with the deducted annual leave wages, the cost of safeguarding rights is usually relatively low, and those who meet the conditions can also consult legal aid.

Q4: How long does it take from applying for arbitration to receiving the annual leave salary?

Labor disputes must first be submitted for arbitration. The arbitration committee generally concludes the case within 45 days from the date of acceptance, and the case may be extended by 15 days if it is complex. If the party is not satisfied with the arbitration award and files a lawsuit, the ordinary procedure for the first instance lasts six months, and the summary procedure lasts three months. For cases with small amounts and clear facts, they are usually resolved through mediation or arbitration at the arbitration stage, and the results can be obtained within a few months. If the case enters the enforcement stage, the outcome will depend on the unit's ability to fulfill its obligations.

Q5: My annual leave was deducted. What should I do specifically?

There are four steps to proceed: First, check the unit's system and attendance to confirm whether the sick leave meets the statutory deduction threshold; Second, fix the labor contract, sick leave application, attendance, and pay slips; Third, first negotiate with the unit to make up for the unpaid annual leave wages; Fourth, if no agreement is reached, apply for labor arbitration within the one-year arbitration statute of limitations and claim 300% of the daily wage (including the wages already paid and an additional 200% of the actual wage). If necessary, hire a lawyer to review the legality of the termination simultaneously.

This article is written based on the common judicial interpretations in the Beijing area. If the case occurs in other regions, it is recommended to consult local lawyers to verify the regional differences.

If you are currently facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the necessary evidence to avoid missing the statutory time limits.Labor arbitration legal services·Attorney Feng Na·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and publicly available adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in a timely manner.