Fact Sheet: Leave Upon Transfer or Separation

Advanced Annual and Sick Leave

The advanced leave indebtedness transfers with the employee. The losing agency certifies the employee's negative leave balance to the gaining agency for charge (5 CFR 630.501(a), 5 CFR 630.502(a)). Agencies may not require an employee to refund the amount of the advanced leave in order to achieve a "zero" balance at the time of transfer.

The advanced leave indebtedness must be refunded by the employee upon separation, or the agency may deduct that amount from any pay due the employee upon separation (5 CFR 630.209(a)). However, if the employees dies, retires for disability, or is separated or resigns because of disability, the repayment requirement does not apply. The agency determines whether an employee has separated or resigned because of disability (5 CFR 630.209(b)(3)).

Annual Leave

The annual leave balance(s) (to include any restored annual leave) transfers with the employee (5 CFR 630.501(a)). If the employee transfers to a position not covered by OPM’s leave authorities to which any part of the employee’s annual leave cannot transfer, the employee receives a lump-sum payment for the balance that cannot transfer (5 CFR 550.1203(a)(3)).

The annual leave balance(s) (to include any restored annual leave) is paid out in a lump-sum payment equal to the pay the employee would have received had the employee remained employed until expiration of the period covered by the annual leave, including pay adjustments if applicable (5 CFR 550.1203(a)(1) and (2), 5 CFR 550.1204, and 5 CFR 550.1205). If the employee is reemployed during the lump-sum leave period, the employee must refund the portion of the lump-sum payment that represents the period between the date of reemployment and the expiration of the lump-sum period (5 CFR 550.1206), and the agency recredits to the employee annual leave equal to the days or hours of work remaining between the date of reemployment and the expiration of the lump-sum leave period (5 CFR 550.1207). Restored annual leave is not subject to refund and is not included in the calculation of the lump-sum leave period (5 CFR 550.1206). (Lump-Sum Payments for Annual Leave fact sheet)

Bone Marrow or Organ Donor Leave

Bone marrow and organ donor leave are only provided to an employee on an as-needed basis, so there is no balance to transfer. The losing agency certifies the number of any bone marrow or organ donor leave hours used by the employee during the current calendar year. The gaining agency applies any hours used against the employee’s current calendar year limitation. There is a 7-day bone marrow leave and a 30-day organ donor leave limitation per calendar year (5 U.S.C. 6327(b)).

Bone marrow and organ donor leave are only provided to an employee on an as-needed basis, so there is no balance when the employee separates. If the employee used bone marrow or organ donor leave and is reemployed during the same calendar year in which the employee used the leave, the gaining agency applies any hours used against the employee’s current calendar year limitation. There is a 7-day bone marrow leave and a 30-day organ donor leave limitation per calendar year (5 U.S.C. 6327(b)).

Disabled Veteran Leave (DVL)

The disabled veteran leave balance transfers with the employee if the employee is within the 12-month eligibility period for DVL (5 CFR 630.1308(c)).

The disabled veteran leave balance remains to the employee’s credit upon separation during the employee’s 12-month eligibility period. If the employee is reemployed during this eligibility period, the DVL balance is recredited (5 CFR 630.1308(d)). If the employee is not reemployed within this eligibility period, the balance is forfeited.

Unused DVL may not be included in any lump-sum payment (5 CFR 630.1308(e)).

Emergency Leave Transfer Program (ELTP)

The donated annual leave balance transfers with the employee if the employee continues to be affected by the disaster or emergency.

The donated annual leave under the ELTP is returned to the source of the donation—i.e., the leave donors or the leave bank, as applicable, upon separation because the disaster or emergency affecting the employee terminates when the employee separates from Federal service (5 CFR 630.1116(b) and 5 CFR 630.1117(a)).

Unused donated annual under the ELTP may not be included in a lump-sum payment for annual leave or recredited to an employee who is reemployed (5 CFR 630.1115).

Home Leave

The home leave balance transfers with the employee (5 CFR 630.607).

The home leave balance remains to the employee’s credit for 90 days after separation. If the employee is reemployed within 90 days, the balance is recredited (5 CFR 630.607).  If the employee is not reemployed within 90 days, the balance is forfeited.

Unused home leave may not be included in any lump-sum payment (5 U.S.C. 6305(a)(3)).

5 U.S.C. 6323(a)

5 U.S.C. 6323(a). The military leave balance transfers with the employee.

5 U.S.C. 6323(a). The military leave balance is forfeited upon separation. If the employee is reemployed during the same or succeeding fiscal year in which the employee separated, the gaining agency recredits to the employee any military leave under section 6323(a) to which the employee is entitled at the time of reemployment. If the employee is not reemployed during the same or succeeding fiscal year in which the employee separated, there is no authority to recredit the military leave if the employee returns to Federal employment at a later date. Unused military leave under any provision of section 6323 may not be included in any lump-sum payment.

Military Leave

5 U.S.C. 6323(b) and (d)

5 U.S.C. 6323(b) and (d). Military leave under these sections is only provided to an employee on an as-needed basis, so there is no balance to transfer. The losing agency certifies the number of military leave hours used by the employee during the current calendar year. The gaining agency applies any hours used against the employee’s current calendar year limitation. There is a 22-day limitation under section 6323(b) per calendar year and a 44-day limitation under section 6323(d) per calendar year.

5 U.S.C. 6323(b) and (d). Military leave under these sections is only provided to an employee on an as-needed basis, so there is no balance when the employee separates. If the employee is reemployed during the same calendar year, the gaining agency applies any hours used against the employee’s current calendar year limitation. There is a 22-day limitation under section 6323(b) per calendar year and a 44-day limitation under section 6323(d) per calendar year.

Military Leave

5 U.S.C. 6323(c)

5 U.S.C. 6323(c). Military leave under section 6323(c) is unlimited and is only provided to an employee on an as-needed basis, so there is no balance to transfer.

5 U.S.C. 6323(c). Military leave under section 6323(c) is only provided to an employee on an as-needed basis, so there is no balance when the employee separates.

Paid Parental Leave (PPL) under the Family and Medical Leave Act (FMLA)

The paid parental leave balance transfers with the employee if the employee is within the 12-month eligibility period for PPL.

An employee must request to use PPL at the gaining agency and must enter into the work obligation agreement with the gaining agency (5 CFR 630.1705).

Any intermittent use of FMLA with substitution of PPL must be approved by the gaining agency (5 CFR 630.1205(a)).

The paid parental leave balance remains to the employee’s credit upon separation during the employee’s 12-month eligibility period. If the employee is reemployed during this eligibility period, the PPL balance is recredited. If the employee is not reemployed within this eligibility period, the balance is forfeited.

Unused PPL may not be included in any lump-sum payment.

Parental Bereavement Leave   

The parental bereavement leave balance transfers with the employee if the employee is within the 12-month eligibility period for use of parental bereavement leave. Any intermittent use of parental bereavement leave must be approved by the gaining agency (5 U.S.C. 6329d(b)(2)).

Any unused parental bereavement leave balance remains to the employee’s credit upon separation during the employee’s 12-month eligibility period. If the employee is reemployed during this eligibility period, the bereavement leave balance is recredited. If the employee is not reemployed within this eligibility period, the balance is forfeited.

Unused parental bereavement leave may not be included in any lump-sum payment.

Shore Leave  

The shore leave balance transfers with the employee if the transfer is to a position in which the employee earns shore leave but is otherwise forfeited (5 CFR 630.704(f)).

The shore leave balance is forfeited upon separation (5 CFR 630.704(f)).

Unused shore leave may not be included in any lump-sum payment (5 CFR 630.704(d)).

Sick Leave

The sick leave balance transfers with the employee (5 CFR 630.502(a)). If the employee transfers to a position not covered by OPM’s leave authorities and to which any part of the employee’s sick leave cannot transfer, the employee is entitled to a recredit of that sick leave upon reemployment to a position covered by OPM’s leave authorities (5 CFR 630.502(e) and (f)).

The sick leave balance remains to the employee’s credit upon separation. If the employee’s separation is a result of retirement or death in service, any remaining sick leave will be used in the calculation of the employee's or survivor's annuity (5 CFR 630.407). If the employee is reemployed, the sick leave may be recredited if it was not used in the computation of an annuity (5 CFR 630.502(b)).

Unused sick leave may not be included in any lump-sum payment.

Voluntary Leave Bank Program (VLBP)  

If the employee continues to be affected by the medical emergency, the losing agency’s leave bank board decides whether to allow the donated annual leave balance under the VLBP to transfer with the employee. The board can administratively terminate the employee’s medical emergency, in which case the donated annual leave is returned to the agency VLBP (5 CFR 630.1010(a)(2) and (b)). If the board does not terminate the medical emergency, the donated annual leave balance transfers with the employee and remains to the employee’s credit. Leave in the employee’s set aside accounts also transfers with the employee. If the gaining agency has a VLBP, the employee becomes subject to the gaining agency’s VLBP policies and procedures (5 CFR 630.1014). If the gaining agency does not have a VLBP, the employee becomes subject to the gaining agency’s voluntary leave transfer program’s policies and procedures (5 CFR 630.1015).

The donated annual leave balance under the VLBP is returned to the leave bank upon separation because the employee’s medical emergency terminates when the employee separates from Federal service (5 CFR 630.1010(a) and (b)).

Unused donated annual leave under the VLBP may not be included in a lump-sum payment for annual leave or be recredited if the employee is later reemployed (5 CFR 630.1009(e)).

Voluntary Leave Transfer Program (VLTP)  

If the employee continues to be affected by the medical emergency, the donated annual leave balance under the VLTP transfers with the employee.  See OPM Form 630C. Leave in the employee’s set aside accounts also transfers with the employee.

The donated annual leave balance under the VLTP is returned to the leave donor(s) upon separation because the employee’s medical emergency terminates when the employee separates from Federal service (5 CFR 630.910(a)(1) and (c)).

Unused donated annual leave under the VLTP may not be included in a lump-sum payment for annual leave or be recredited if the employee is later reemployed (5 CFR 630.909(e)).