Government research has found that around 1.8 million individuals who are legally entitled to paid holiday are being denied their rights to the tune of £1.8 billion per annum. Check your entitlements and ensure you are receiving the holiday pay your employer is obliged to pay.
Over half of those surveyed for the government investigation thought that those on zero hours contracts had no holiday pay entitlement.
In response, the government launched the ‘It comes with the job’ advertising campaign encouraging workers to understand their rights and employers to understand their legal obligations in a fairer workplace.
Many of the UK working population are full-time, permanent employees on fixed hours and pay and receive the same pay even if they take holiday. However, for people who do not have regular hours or do not receive the same pay each week or month means that some workers such as flexible workers, people on zero-hour contracts, agency workers, and temporary staff are more at risk of not receiving the holiday pay they are entitled to.
The UK leads the way in workers’ rights with the government recently announcing fresh measures giving Parliament, trade unions and businesses a new and enhanced role in shaping the future of workers’ rights after Brexit.
Some employers are not ensuring that holiday pay is a true average of the workers last 12 weeks equivalent pay. Many are not including additional time and overtime, commission and other payments which form part of the holiday pay entitlement. April 2020 sees the entitlement basis changing from the current 12 week average to a new 52 week average to calculate a weeks holiday pay entitlement.
So if a worker exceeds their contract hours, then when they come to take time off, the entitlement to time and pay must include the additional time and pay.
Along with the current measures policing minimum pay rights, the government is moving ahead with plans to ensure that workers receive their entitlements and are not exploited by their employers. These initiatives form part of the ‘Good work plan’ in response to the Matthew Taylor report.
Make sure you receive the holiday pay you are entitled too. All employees are entitled to at least 5.6 weeks of annual paid leave.