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Losing out on holiday pay

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  • roseview said:
    My husband and I both work on a tactical basis for some companies. With a couple of them their holiday policy states that we cannot claim less than half a day holiday pay, yet we don't always earn that entitlement in a year due to the small amount of work that we do for them. As such, that means that we don't get the holiday pay. Can they really do this? Surely, we are entitled to it by law? It's not a lot of money but that's not the point, it's the principle.

    What is a 1/2 day?

    Probably not what they are telling you.
    For a one hour a day worker it is 1/2 hour. 

    They probably mean a min hours payment not 1/2 day. 

    Holiday is defined by weeks(not days) and holiday pay is now(since April) determined by reference to the previous 52 weeks.

    They need to pay holiday pay.
     if they want to round that up that is their option.
    they can't round down. 

    Rolled up pay may be the best option, if work is very sparse, included in each pay period rather than actually taking holiday. 
    Rolled up holiday pay (that is where holiday pay is rolled up in the hourly rate paid) is not lawful.  Pay for holiday included in  the payment each pay period has to be shown separately from the basic hourly rate.
    A close call.

    The European Court of Justice has ruled to that effect but it has not been enacted in UK law, only guidance. Interesting article here....

    https://www.davidsonmorris.com/rolled-up-holiday-pay/
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    roseview said:
    My husband and I both work on a tactical basis for some companies. With a couple of them their holiday policy states that we cannot claim less than half a day holiday pay, yet we don't always earn that entitlement in a year due to the small amount of work that we do for them. As such, that means that we don't get the holiday pay. Can they really do this? Surely, we are entitled to it by law? It's not a lot of money but that's not the point, it's the principle.

    What is a 1/2 day?

    Probably not what they are telling you.
    For a one hour a day worker it is 1/2 hour. 

    They probably mean a min hours payment not 1/2 day. 

    Holiday is defined by weeks(not days) and holiday pay is now(since April) determined by reference to the previous 52 weeks.

    They need to pay holiday pay.
     if they want to round that up that is their option.
    they can't round down. 

    Rolled up pay may be the best option, if work is very sparse, included in each pay period rather than actually taking holiday. 
    Rolled up holiday pay (that is where holiday pay is rolled up in the hourly rate paid) is not lawful.  Pay for holiday included in  the payment each pay period has to be shown separately from the basic hourly rate.
    Thanks for correcting,  I did mean rolled up as in paid at the same time as the hours worked are paid  and identified separately.

    Although there are issue with the legality this is easily got round as the employer can always say when holiday is to be taken and can put in the contract holiday is to be taken in the same pay period as it accrued to get round the statutory notice requirements.

    There is the problem of what the pay is  as the employer should be using the last 52 weeks for the calculation.


    Not sure if they have changed it but NHS bank staff used to be paid this way.
  • Holiday days will be rounded for all other employees as well if that's the policy. Companies rarely faff about with hours , either half or full days rounded down in the main. 
    Accrued statutory entitlement cannot lawfully be rounded down. It either has to be given as is, or rounded up.
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