Garden leave (or "gardening leave") is a clause that allows an employer to keep you on full pay during your notice period while requiring you to stay away from the workplace and refrain from starting a new job. It's common in senior, sales, or client-facing roles where your employer fears you'll take clients or colleagues to a competitor. Understanding your garden leave clause — and the restrictions it actually imposes — is essential before you sign.
What is a Garden Leave?
Under a garden leave clause, once you resign (or are given notice), your employer can direct you to stay home for some or all of your notice period. You remain employed and receive your full salary and contractual benefits, but you're typically: prohibited from working for anyone else, required to remain available to return if needed, prevented from contacting clients or colleagues, and obliged not to assist competitors. Garden leave effectively delays the start of any competing restrictions in a post-termination non-compete.
Red flags to watch for
If your notice period is 6 months and you also have a 12-month non-compete that runs from termination date, you could face 18 months of combined restriction. This is significantly more than most courts will accept as reasonable.
Garden leave without explicit salary continuation is problematic. Ensure your contract clearly states you remain on full pay (including benefits and bonuses) during any garden leave period.
A clause giving the employer unilateral discretion to put you on garden leave, combined with a long notice period, could mean you're effectively prevented from working for a competitor even without a formal non-compete.
The garden leave clause should be specific about what you can't do. Broad prohibitions on "any activities that could be of interest to a competitor" are over-reaching.
Some employment contracts allow an employer to release you from garden leave early (without notice). This should come with protection: if released early, you shouldn't still be bound by the full notice period restrictions.
Your legal rights
In the UK, garden leave is only enforceable if it is expressly written into the employment contract — there is no implied right for an employer to put you on garden leave. Courts will also limit the enforceability of garden leave if, combined with post-termination restrictions, the total period is unreasonable. You must continue to receive your full salary and benefits during garden leave. If your employer fails to pay you or withdraws benefits, they may be in breach of contract, which could allow you to treat yourself as dismissed.
Questions to ask before you sign
- 1What is the length of the notice period, and can the employer elect garden leave for all or part of it?
- 2Will I receive my full salary, benefits, and bonus entitlements during garden leave?
- 3Are there restrictions on what I can do during garden leave (other employment, contact with clients)?
- 4How does the garden leave period interact with any post-termination restrictions in the contract?
- 5Can the employer release me from garden leave early, and on what terms?
Disclaimer: This guide is for educational purposes only and does not constitute legal advice. Contract law varies by jurisdiction and individual circumstances. Always consult a qualified legal professional before making decisions based on this information.