How do I calculate my holiday hours and leave entitlement?

I hope holidays are something which all of us are looking forward to. On 6th April 2020, the reference period for calculating the holiday pay for variable hour workers increased from 12 to 52 weeks. Let us look at the available number of paid leaves in a year for regular employees and part-time employees. Also, what are holiday pay, the number of paid holidays in a year, holiday hours, and leave entitlement

Holiday Pay

Holiday pay is eligible for most of the workforce. Workers who work for 5 days a week must at least receive 28 days of paid leave in a year. The employer can choose to include bank holidays as part of the employee’s annual leave as well. But only up to 8 days. Even for an employee who works six days a week, the maximum number of holidays is 28 days in a year.

Holiday hours, and leave entitlement for a part-time employee.

A part time employee is eligible to get 28 days of paid holiday, to the proportion of hours you work. That is, the number of days you work a week x 5.6.

You can use the government’s leave calculator to calculate your holiday hours, and leave entitlement.

Average hourly or weekly rate

Only the hours worked and the wage paid must be considered while calculating the average hourly rate. Take the average of the past 52 weeks into consideration.

The week must to be calculated in 7 days. Lets say for the past 52 weeks there was no pay. Then count back another week and, you can do this up to 104 weeks to find these.

If the worker has less than 52 weeks of pay, use the average pay rate for the full weeks they have worked.

Leave accrual system

It is a system in which an employee gets one-twelfth of their leave each month. The process starts from the day you join the job.

You accrue your holiday entitlement while on :

  • maternity leave
  • paternity leave
  • adoption leave
  • shared parental leave

This mean’s that if you take maternity leave when you come back, you have a whole year’s accrued holiday. But you have to discuss with your employer how you intend to take these holidays.

Part Leave days

There are times when you take a part-day off work. Then you will have a half-day of leave balance. How a part-day should be taken is up to the employer. 

Carrying over leave

Wouldnt it be great if we could carry over our leave, collect it together and encash it at the time of retirement or while we quit the job? Unfortunately, we are not able to do this. The ability to carry over leave is mentioned in the employment contract, company handbook, or intranet. 

Under ordinary rules employment contract allows carrying forward 8 days.

If there is any enhancement in the contract between you and your employer, then your leaves can be carried over.

Leave affected by a coronavirus (COVID-19).

Due to the pandemic outbreak a set of new regulations were introduced on March 27.

  • Ordinary leaves which were not practicably available for the workers to take can be carried over for the next two years. You will be able to carry over up to four weeks to the next two years.
  • Additional leave can be carried over if it’s mentioned in the employer’s contract. 
  • If you were unable to use the holiday due to ill health/ maternity/ pregnancy and, the reason for this is related to coronavirus. Then you can carry over the leave for two years.

The only time when you can get paid for your statutory leave is when you leave your job. Even in case of a misconduct and dismissal of an employee the employer must still pay the leave balance. Hope this government leave calculator might help you to calculate your leave balance and clear your queries.

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