2 August 2018

New research from the Trades Union Congress (TUC) shows that more than two million UK workers are not getting the minimum amount of paid leave they are entitled to.  More than half of those are not getting any paid leave at all.

Annual leave entitlement 

The Working Time Regulations mean that most workers are entitled to 5.6 weeks paid leave per year. For those working a 5 day week, this works out at 28 days (including bank holidays), and pro rata for part-time staff.  Holiday entitlement builds up from when an employee starts and any unused holiday entitlement as at their last date of employment must be paid when an employee leaves.  Holiday entitlement also builds up during maternity, paternity and adoption leave and while someone is off work sick.

Hilary Hall, NHBF chief executive, said:

We handle 25,000 calls each year and helping employers to calculate holiday pay accurately is one of the top reasons for those calls. 

“The problem for salon owners is that their teams often work irregular hours or change their hours each week so the calculations can be tricky.  We handle 25,000 calls each year and helping employers to calculate holiday pay accurately is one of the top reasons for those calls. 

Employers also need to be sure that holiday pay reflects what an employee would normally have earned if they had been at work, including bonuses and commissions.  Entitlement can be worked out using hours, rather than days, and we can do this calculation for members over the phone.”

The government’s UK Labour Market Enforcement Strategy 2018-2019

Holiday pay entitlement is already coming under scrutiny as the government’s UK Labour Market Enforcement Strategy 2018-2019 includes a recommendation for HMRC to enforce holiday pay and recover holiday pay arrears in the same way that they enforce payment of the National Minimum Wage and the National Living Wage.