Firms have been urged to check their staff take their annual leave after a new study found that two out of five managers did not use up all their holiday last year.

One-third of those missing out on holidays could not carry over days owing, a survey of more than 1,000 managers revealed.

The Institute of Leadership & Management said its research also showed 40 per cent of managers admitted there was room for improvement in their work/life balance.

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The institute said employers should make sure staff book all their leave.