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Holiday Pay

From April 2009, almost all workers are entitled to at least 28 days or 5.6 weeks paid statutory holiday each year (i.e. annual holiday of 4 weeks plus bank holidays). This does not apply if individuals are either self-employed or work in the armed forces, police or civil protection services.

To calculate holiday entitlement, you need to multiply 5.6 by the number of days worked each week. So a five-day week results in 28 days holiday, but for 2.5 days each week, the entitlement is 14 days.

The employment contract may specify more than the statutory holiday, but it can not specify less. Any extra days off are known as contractual holiday. Depending on the employer, bank holidays may need to be taken from the statutory holiday.

Holiday pay is paid at the same rate as normal wages. If a worker’s salary does not vary depending on the amount of work done, then they will receive a week’s pay for a week’s holiday.

If a worker’s salary depends on the quantity of work completed, then a week’s holiday pay is the pay for the normal weekly working hours multiplied by the worker’s average hourly rate over the preceding 12 weeks.

For shift workers, a week’s holiday pay is calculated by multiplying the employee’s average weekly hours of work over the past 12 weeks by their average hourly rate.

In the case of workers with no normal hours, a week’s holiday pay is the average salary received over the last 12 weeks.

If you require any further information on any of the above, please contact us on 0800 234 6978 or email info@lamontpridmore.co.uk.

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