What holiday is a part year worker entitled to ?

In a recent ruling by the supreme court in the case The Harpur Trust v Brazel the supreme court found that Ms Brazel, a music teacher who works at a school during term time was entitled to a full years paid holiday (5.6 weeks) rather than the part time pro rata of 46.4 week.

In addition the holiday pay calculation being used of 12.07 % was incorrect as this financially disadvantaged her and her holiday pay must be based on her average pay on the proceeding 12 / 52 week period.

What does the part year holiday ruling mean for employers ?

In essence this means that a part year worker who completes more that 12 weeks service are entitled to a full years paid holiday of 28 days.

e.g

Jake worked for 12 weeks at a warehouse packing boxes  

• Paid holiday entitlement prior to July 2022 ruling:            7.5 days
• Paid holiday entitlement post July 2022 ruling :                 28 days

The Land mark ruling that now gives part year workers a full year’s paid holiday entitlement took effect from July 2022.

Why can’t I use the 12.07 % holiday pay calculation ?

The use of the 12.07 % holiday pay calculation became illegal back in April 2020 and is no longer recommended by ACAS.

Full details on how to calculate pay holiday correctly can be found here

What holiday pay are agency worker / temporary staff entitled to ?

This is where the law becomes very complicated and employers need to be very careful. Technically an agency worker or temporary staff could work for 12 weeks then simply leave and claim a full years paid holiday.

As an employer it also raises bigger concerns of how to manage additional workloads at busy times, do you really want to be taking on temporary staff for more than 12 weeks if you may then be liable for paying them 28 days holiday pay.  

What holiday pay are part time workers entitled to ?

This ruling does not affect part time workers only part year workers. Part time workers holiday pay should be calculated in accordance with current legal requirements.

The problem for employers will be how do you tell a part time worker that they are entitled to less holiday than a part year worker who works less hours than them.

How to calculate part time workers holiday ?

Where a part time employee works fixed ours then they should just be paid their normal salary for periods of leave.

However if a part time worker, works variable hours their holiday pay  must be paid as an average weeks wage based on their average weekly earnings over the last 52 weeks.

Full details on how to correctly calculate holiday pay can be found here