Urgent Update - Holiday Pay Claims
The introduction of The Deduction from Wages (Limitation) Regulations 2014 means that when making a claim for backdated deductions from wages for holiday pay, a two year cap will be placed on all claims that are brought on or after 1 July 2015. This means that the period that the claim can cover will be limited to a maximum of 2 years.
Anyone wishing to bring a claim ahead of the introduction of the two year cap placed on all backdated claims that are brought on or after 1 July 2015, will need to have obtained an early conciliation certificate and presented the ET1 claim form to tribunal on or before the 30 June 2015.
Note: On Tuesday 30 June we will make our Early Conciliation Support telephone lines available from 8am to 8pm. Anyone requiring a certificate on the last day for presentation of an ET1 claim form should contact our support team in good time and not later than 7pm to allow sufficient time for a notification to be processed and a certificate sent out.
Early Conciliation Support phone number: 0300 123 1122
Note: On the 30 June there will be no facility to obtain a certificate on notifications made after 7pm.
It is your responsibility to make sure that any employment tribunal claim is submitted in time and that the tribunal claim form contains the Early Conciliation Certificate number.
Please visit our Acas Early Conciliation webpages for further information and resources.
View or download the Acas Advice leaflet - Holidays and holiday pay [164kb].
Note: This leaflet contains helpful information about holiday entitlement, but it does NOT yet contain information about overtime and holiday pay following the Employment Appeal Tribunal Ruling in Bear Scotland Ltd v Fulton (and other joined cases) on 4 November 2014.
- Most workers are legally entitled to 5.6 weeks paid holiday per year (this is known as statutory entitlement).
- Part time worker are entitled to the same amount of holiday (pro rota) as full time colleagues.
- Employers can set the times when workers can take their leave - for example a Christmas shut down.
- If employment ends workers have the right to be paid for any leave due but not taken.
- There is no legal right to paid public holidays.
Once an employee starts work details of holidays and holiday pay entitlement should be found in the employee's written contract, where there is one, or a written statement of employment particulars given to employees by their employer.
Note: The written statement is required by law and must be given to employees by the employer no later than two months after the start of employment.
Most workers - whether part-time or full-time - are legally entitled to 5.6 weeks of paid annual leave. Additional annual leave may be agreed as part of a worker's contract. A week of leave should allow workers to be away from work for a week - i.e. it should be the same amount of time as the working week. If a worker does a five-day week, he or she is entitled to 28 days leave. However, for a worker who works 6 days a week the statutory entitlement is capped at 28 days. If they work a three-day week, the entitlement is 16.8 days leave. Employers can set the times that workers take their leave, for example for a Christmas shut down. If a worker's employment ends, they have a right to be paid for the leave due and not taken.
There is no legal right to paid leave for public holidays; any right to paid time off for these holidays depends on the terms of a worker's contract. Paid public holidays can be counted as part of the statutory 5.6 weeks of holiday.
Carrying leave over from one leave year to the next
Workers must take at least four weeks statutory leave, they may be able to carry over the remaining leave if their employer agrees. Workers do not have an automatic right to carry leave over to the next holiday year.
Workers who are entitled to more than the statutory leave allowance may be able to carry over leave if the employer agrees, this agreement may be written into the terms and conditions of employment.
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