Practical Law Glossary Item 4-502-4758 (Approx. 3 pages)
Glossary
Garden Leave
A period of time defined by contract when an employee generally does not work (or performs only limited duties) but remains employed and continues to receive normal salary payments or other benefits. Depending on the contractual provisions, during the garden leave period the employer may prohibit the employee from:
Entering the employer's premises.
Using the employer's email and other systems.
Contacting the employer's staff and customers or clients.
Because the employee remains employed by the employer, the employee is bound by the employee's contractual terms of employment, including any confidentiality obligations or similar restrictions and the employee's duty of loyalty (or fiduciary duty, if applicable). Employees cannot work for a competitor during the garden leave period.