Garden Leave

Garden Leave is a contractual arrangement where an employee serves their notice period away from the workplace while remaining employed and paid.

What is Garden Leave?

Garden leave temporarily removes an employee from active duties during their notice period. The employee stays on payroll and bound by contract terms such as confidentiality and non-solicitation while prevented from working for competitors.

How Does it Work

Employers place an employee on garden leave under terms in the employment contract or by agreement. The employer continues salary and benefits, restricts workplace access, and may limit communication with colleagues or clients. Garden leave is used to protect sensitive information and preserve customer relationships.

Practical Usage and Examples

Where and why organisations use garden leave:

• Protecting trade secrets when a senior employee resigns for a rival firm
• Preventing solicitation of clients or staff during notice
• Managing high risk exits in regulated sectors while compliance checks occur

Realistic HR scenarios include a sales director given garden leave to prevent immediate client outreach, or a product manager kept offsite while patent filings are finalised.

Related HR Concepts

Closely related terms include notice period, restrictive covenants, non-compete, offboarding, termination pay and confidentiality obligations. These concepts often interact when applying garden leave.