Hi,
Does anyone pro rata their employee's entitlement to bank holidays based on the average number of working days in a week, or are you just giving all staff 8 days?
Also, does anyone have a calculation for relief/casual staff holiday & bank holiday accrual?
Hi Colindale
We apply bank hols as follows
5 day week = the full 8 days, 4 day week = 6.5 b/hols, 3 day week = 5 db/hols, 2 day week = 3 b/hols and a 1 day week = 1.5 b/hols. Because we work a 7 day week if anyone is rotad to work a b/hol they get the day back in lieu.
With regard to calculating holiday for anyone employed by us I follow the recommendation in the WTD and calculate the number of days worked in the holiday year x by the annual holiday entitlement and divide by 365 this gives youthe person's entitlement for their period of employment. I guess if you have casual people you may not know how many days they work each year so you could always calculate hol entitlement monthly based on the number of days a casual works each month.
Hope that helps
BKay:With regard to calculating holiday for anyone employed by us I follow the recommendation in the WTD and calculate the number of days worked in the holiday year x by the annual holiday entitlement and divide by 365 this gives you the person's entitlement for their period of employment
Just a note of caution - I have successfully represented Claimants in tribunal cases where the employer uses this calculation. The EAT decision in the case of Leisure Leagues UK Ltd v Maconnachie (2002 IRLR 600) makes it clear that the calculation should be based on working days, not calendar days in a year, which gives a divisor of 260 for a full time worker (5 day week x 52).
Any employee who has been paid using a divisor of 365 has a potential claim against you under the WTD and the unlawful deduction from salary routes (subject to time limits, etc).
semper ad meliora
I've always calculated bank holiday accrual in the same way as annual leave accrual, by taking the same proportion of the full time entitlement whole as the proportion of full time work. As an example - if the full time worker works a 35 hour week, and gets 24 days holiday per year, and 8 bank holidays per year, then the worker who does a 24.5 hour week works 70% of fulltime, or 0.7FTE. Therefore they get 17 days holiday and 5.6 days of bank holidays.
By the same token, hourly paid staff accrue their leave and bank holiday in the same way - they get an entitlement which is accrued for each hour they work, so: multiply the number of hours a full time person does in a week by the number of WORKING weeks per year (in our case 45 weeks) which gives you a yearly number of working hours (1575).
The average full time working day (for us) is 7 hours, so:
Full time Bank holidays = 8x 7 hours per day = 56 bank holiday hours per year for a full time member of staff. This is accrued at a rate of 56/1575 = 0.0355 hours per hour worked.
Full time annual leave = 24x7hours per day = 168 leave hours per year, accrued at a rate of 168/1575 = 0.1066hours per hour worked.
As people work, their holiday and bank holiday hours accrue as they get paid.....
We tend to add annual leave and bank holiday accrual together for hourly paid workers as it makes it a bit easier to understand. Therefore when they work an hour they accrue 0.1421 hours holiday (inc bank holiday). So then for every 7 full days they work (49 hours) they accrue more or less a whole day's holiday entitlement (just under 7 hours holiday accrual).
Clear as mud?
K
HR Manager, Essex
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