Holiday pay whilst furloughed - new minimum wage applies?

holt4england · 5 May 2020 at 6:44PM

I've been told to take annual leave at the end of May whilst on furlough. Does anyone know if the new minimum wage applies for leave taken after April 2020. I know the furlough pay is based on old rates prior to March but what about holiday pay that should be paid in full?
Thanks

calcotti · 5 May 2020 at 7:03PM

Holiday pay should be at normal pay so I would say new NMW applies.

Jeremy535897 · 5 May 2020 at 9:59PM

Very interesting question, as the statutory rate of holiday pay is (broadly speaking) based on the average pay for the previous 52 weeks. I think that this is overridden by an increase in NMW though.

holt4england · 6 May 2020 at 8:00AM

There's there seems to be no certainty about this, do I approach my employer and risk the embarrassment or keep quiet and be grateful for getting something?

Jeremy535897 · 6 May 2020 at 8:06AM

If your relationship with your employer is good, and you enquire politely, why not ask? You can always say you're looking out for him as well, as he's not allowed to pay you less than 80% of your reference salary while you are on furlough, or he could lose the CJRS claim in respect of you.

sharpe106 · 6 May 2020 at 10:37AM

To be honest for the extra few pounds is it really worth it? If your company is in bad enough state that it needs to furlough staff then there is potential that they will be looking at redundancies in the future, why irritate your manager now.