Garden leave
Garden leave is common practice in executive-level employment contracts, referring to the period after an employee leaving a job is instructed to stay away from work during the notice period, while still remaining on the payroll. Garden leave often overlaps with or supplements: non-compete clauses, non-solicit clauses or confidentiality obligations, preventing the executive from immediately taking sensitive information or client relationships to a competitor business.
Details
Employees continue to receive their normal pay during garden leave and must adhere to their conditions of employment, such as confidentiality and non-compete clause, at least until their notice period expires. An employer's main benefit from a garden leave is the ability to protect their businesses. A similar practice applies in the United States where an employee that is immediately relieved of responsibilities usually remains with the company as a consultant for the remainder of their contract, continuing to receive a salary and office during that period.This practice is often used to prevent an employee from taking with them up-to-date information when they leave their current employer, especially when they are very likely leaving to join a competitor. In jurisdictions where employee non-compete clauses are legal, the practice is used to maintain the effectiveness of such clauses. This is also sometimes used when an employee position is no longer needed during the notice period. Sometimes, the practice is used to avoid careless work or sabotage by an uninterested or disaffected employee, or when an employer wishes to imply that is the case.
Etymology
The term originated in the British civil service, where employees had the right to request special leave for exceptional purposes.The term came to widespread public attention in 1986 when it was used in the BBC sitcom Yes, [Prime Minister] episode "List of [Yes Minister and Yes, Prime Minister episodes|One of Us]", in which a character potentially involved with a Russian spy is threatened with "gardening leave".