Garden leave

Still employed, still paid, but told to stay away from work — garden leave keeps the contract alive while you serve out your notice at home.

Do I still get paid during garden leave?

Yes. Garden leave means your employment and pay continue as normal — you are simply told not to attend work or carry out your usual duties.

Can my employer put me on garden leave without a clause in my contract?

It is much harder for them to do so lawfully. Without an express garden leave clause, or your agreement, requiring you to stay away from work while still bound by exclusivity obligations can risk being a breach of contract.

Can I start a new job while on garden leave?

Generally no, because you remain employed under your existing contract until the notice period ends, and most contracts prevent working for another employer during that time.

Does garden leave affect my continuous employment for tribunal purposes?

Garden leave is a period of continuing employment, since the contract remains in force — it does not usually break continuity of employment in the way a genuine dismissal would.

Is garden leave the same as suspension?

No. Suspension is typically linked to a disciplinary process and an ongoing investigation. Garden leave is usually used during a notice period, most often after resignation, and does not itself suggest any misconduct.

Why employers use garden leave

Garden leave typically comes up when an employee resigns, or is asked to leave, and the employer does not want them continuing to work — often because they are moving to a competitor, or because the employer wants to limit their access to sensitive information, clients or colleagues during the notice period. Because the employee remains employed and paid throughout, garden leave is legally very different from dismissal or suspension on disciplinary grounds.

For garden leave to be enforceable, the contract usually needs to contain an express clause allowing the employer to place the employee on it, or the employer needs the employee's agreement at the time. Without that basis, requiring someone to stay away from work while restricting their ability to work elsewhere can itself risk being a breach of contract.

What garden leave means in practice

• Pay and benefits continue.
• Salary, pension contributions and other contractual benefits normally continue exactly as if the employee were still attending work.
• The employee is told not to come into work, not to contact clients or colleagues on the business's behalf, and not to carry out their usual role.
• Restrictive terms often still apply.
• Confidentiality obligations, and sometimes restrictive covenants that only bite once employment ends, are affected by how garden leave interacts with the specific wording of the contract.
• The employment relationship continues until the notice period ends.
• Unlike dismissal, the contract does not end when garden leave starts — it ends when the notice period expires, or earlier if the parties agree.

An employee resigns to join a competitor and is contractually entitled to three months' notice. Their employer has a garden leave clause in the contract and decides to invoke it immediately, telling the employee not to attend the office or contact any clients for the remainder of the notice period, while continuing to pay their full salary.

The employee remains employed throughout, cannot start the new role until the notice period ends, and the employer's garden leave clause is used alongside any post-termination restrictions in the contract to limit competitive risk during the transition.

Constructive dismissal

Continuous employment

Settlement agreement

Provident Financial Group v Hayward [1989] ICR 160

Handing in your notice

Resigning and notice periods

Garden Leave — Employment Tribunal Glossary

What garden leave means, how it differs from being dismissed, and what it means for pay, notice and restrictive covenants during an employment dispute.