Furlough / holiday pay

Rob48

I am furloughed and will not be going back to work until 6th July.  I work for a big company through an agency, but have a full time PAYE contract.  As part of this months furlough pay we have been told that we have to take 6 days holiday as part of this payment, so when we return to work there won't be lots of holiday requests.  We are PAYE, with a NEST pension and have 26 days holiday entitlement each year. The agency pays to a payment company each month a daily amount for each day we have produced a time sheet.  Every month there are deductions for the mandatory things, tax, NI and pension,  but they also retain an amount paid to cover our holiday days.  This month I have been paid for 20 days on a furlough basis, but the company has topped up 6 of those days to make up the 6 holiday days deducted. Therefore I have 20 days pay @ 80%, plus 6 × days topped up by 20%...... My question is:-

1.  Can they do this ?

2.  What has happened to the other 80% of my money already paid from my day rate to cover these 6 days, if the government has paid this and the company only covered 20%

Grumpy_chap

They can do this so long as they give you the required notice to take annual leave.  It seems fair that you accrued holiday while on furlough and take that holiday while on furlough.

I don't understand your second question.

Jeremy535897

The answer to the second question is that everyone's salary takes into account many things, including the recognition that the employer has to pay you when on holiday. If the employer didn't, the employer could afford to pay more for the days actually worked. It's just more explicit in OP's case. It doesn't entitle OP to anything.