Holiday Leave Covid-19

As the economy starts to reopen, how flexible do employers have to be when it comes to time off for staff?

Almost all workers, including zero-hour contracted workers and people on irregular hours contacts, are legally entitled to 5.6 weeks’ paid holiday each year. Staff should be encouraged to book and take paid holiday, spread throughout the year. But in the context of the Covid-19 pandemic, there may ben unusual factors to take into account. Making up for lost time could be the employer number one priority, where employees may be desperate for a break. Whatever the scenario, it’s likely that good communication, plus a degree of flexibility on both sides, will secure the best outcome. 

Where it’s not possible for employees to take all the holiday they are due during the holiday year because of Covid-19, special provisions are in place to allow them to carry some holiday entitlement forward. Up to four weeks of statutory paid holiday can be carried over into the next two holiday leave years. When calculating how much holiday can be carried over, you need to give workers the opportunity to take any leave that they can’t carry forward before the end of the leave year. Workers who can’t take annual leave because they are on maternity or sick leave, still have the right to carry their annual leave forward.

Best practice would suggest telling workers of the need to carry forward, and how much leave this covers. 

If you have staff on furlough, they can take holiday as normal, with your permission. Their holiday pay needs to be based on what they would earn if they were working. If that’s higher than their pay while they’re furloughed, it falls to you to make up the difference. But you are still able to claim through the furlough scheme for the holiday period. 

Employers can require that certain days are taken as holiday, provided that the correct period of notice is given. If, for example, you want employees to take six days off, they must be notified 12 days in advance. Similarly, employers can cancel paid holiday time that has been booked. If your employee has booked six days holiday, you must tell them you need to cancel it at least six days before the holiday was due to start. 

What if an employee wants time off in an emergency to look after a dependant? This is another area where there is a right to time off. There isn’t a statutory right to pay, and the amount of time provided must be reasonable, given the situation. 

Please do not hesitate to contact us for further advice on any of the issues covered here.