subscribe to stafftax
renew stafftax subscription
access-members-area
stafftax tax calculator
“We have been extremely pleased with the service you have given us over the years and consider it to have been excellent value for money.”
Mrs C A – Whitchurch
Home Employers your employee's rights holiday entitlement
Holiday entitlement PDF Print E-mail
Holiday entitlement can be difficult to calculate. There are so many variables to take into account; is the employee working full-time or part-time? Are they in a temporary position? Is the household giving them all bank holidays as paid days off, or only the statutory entitlement? And last, but not least: what does the term pro rata actually mean?

Holiday can only be taken as it has been accrued, so if your employee takes more time off than they are entitled to for the duration of their employment, you have the right to withhold a portion of their final salary as compensation. Stafftax will help with this calculation.

Statutory entitlement
All employees in the UK are entitled by law to 5.6 weeks holiday per annum.  For a full-time employee that is 28 paid days off per year, of which 4 weeks (20 days) is standard leave and 1.6 weeks (8 days) is all 8 of the bank holidays.

Part-time and temp employment
What about if your employee is only working part-time? The calculation is simple. Multiply the number of days they work by 5.6.

If your employee is employed on a temporary basis they are also entitled to holiday. The calculation of the holiday entitlement for someone in temporary employment in a full-time position is straight forward: divide 28 (the total number of days they would be entitled to if they were working the whole year) with 52 (the total number of weeks in a year). Then you simply multiply the answer with the number of weeks they have been contracted to work.

Example 1: Employee A has been hired to work for Employer B 5 days per week for 16 weeks:

24 / 52 = 0.54 * 16 = 8.6

The holiday entitlement for Employee A is 8.6 days.

If the employee is employed on a part-time basis in a temporary position the calculation is a little bit more complex. First you need to establish the annual entitlement if they were working the whole year. As before, you simply multiply the number of days they work per week by 5.6. Then you follow the steps as outlined in the calculation above.

Example 2: Employee C has been employed to work for Employer D for three days per week for 6 weeks:

5.6 * 3 = 16.8 / 52 = 0.323 * 6 = 1.9

Holiday entitlement for Employee C is 1.9 days.

Pro rata
Pro rata is a word that pops up frequently whenever you're dealing with part-time employment. Just like the salary will be calculated on a pro rata basis so will the holiday entitlement. Pro rata is Latin for "proportionally" or "a proportion of" and it simply means that the part-timer's entitlement is calculated according to what proportion of a full-time job their hours make up.

 

employment law

Introducing our legal service

Your annual subscription to Stafftax entitles you to unlimited use of our Legal Advice help-line. We encourage you to make as much use of this service as you need to manage your domestic employment relations effectively. If you require clarification or advice about any employment issue, other than payroll, then please call or email the Legal Advice helpline.

The Legal Advice helpline is available to you as an employer and is not available to your employee as this may cause a conflict of interest. However, if you wish to make an enquiry to assist your employee, you may call on their behalf.

What we do
Rather than simply explain what you can and cannot do, our legal team work closely with you and focus on finding solutions to your particular situation and problem. We accept and reply to email enquires and will also offer help with drafting letters (should you require it) at no additional charge to you.

Additionally, should you find yourself in a particularly difficult situation and need more help or support over and above that provided by your subscription, we can arrange for you to meet with a member of the legal team in person and for a special member’s rate they can help resolve the matter directly.

employment costs

National minimum wage & the working time directive

It is a criminal offence for an employer to pay below the national minimum wage, currently carrying a fine of up to £5,000. Domestic staff are however exempt from the measures concerning working hours.

Read more...