Zero Hours Holiday Pay

Discussion in 'Employment & HR' started by Walker13, Aug 21, 2019.

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  1. Walker13

    Walker13 UKBF Newcomer

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    Hi all,

    Could someone help me with a couple of queries on Holiday pay for zero hour contract’s please?

    Firstly, 20 days per year plus 8 bank holidays, is this correct?

    Secondly, how do you work out the hours of holiday they are entitled to please? Isn’t it calculate 12 weeks worth of work back and work out a weekly average?

    How much hours are they entitled to instead of days over the year? Hard to work out days when a normal day can be between 4-8 hours

    Getting a little confused by it all!

    Thanks
     
    Posted: Aug 21, 2019 By: Walker13 Member since: Aug 20, 2019
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  2. Newchodge

    Newchodge UKBF Legend

    16,065 4,535
     
    Posted: Aug 21, 2019 By: Newchodge Member since: Nov 8, 2012
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  3. Newchodge

    Newchodge UKBF Legend

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    Are you genuinely operating a zero hours contract, where your staff do not know from week to week how many, or if any, hours they will work?

    If so you calcualte their holiday entitlement by multiplying the hours worked by 12.07%. That gives the number of hours holiday due. You pay at the normal hourly rate.

    If staff work a standard minimum number of hours every week, then you are not operating zero hours contracts and different rules apply.

    I do not understand how you can operate zero hours contracts without this already being in the contract.
     
    Posted: Aug 21, 2019 By: Newchodge Member since: Nov 8, 2012
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  4. Walker13

    Walker13 UKBF Newcomer

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    Yes, indeed I am, the hours fluctuate and no precise hours
     
    Last edited: Aug 21, 2019
    Posted: Aug 21, 2019 By: Walker13 Member since: Aug 20, 2019
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  5. Walker13

    Walker13 UKBF Newcomer

    9 0
    Thanks that’s perfect, and what if they’ve been on sick for a week? (Statutory sick pay) I’m sure they are still entitled to some holiday pay for that? Would you multiply 12.07% by the amount of statutory sick pay and pay that as an amount other than hourly?
     
    Posted: Aug 21, 2019 By: Walker13 Member since: Aug 20, 2019
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  6. Newchodge

    Newchodge UKBF Legend

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    They accrue holiday while sick. If you paid SSP you must have known when they were due to be working, those are the hours for which they accrue holiday.
     
    Posted: Aug 21, 2019 By: Newchodge Member since: Nov 8, 2012
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  7. David White

    David White UKBF Enthusiast

    549 67
    The easiest way to calculate holiday entitlement is as it accrues, meaning your staff earn holidays based on the number of hours they work.

    The statutory holiday entitlement of 5.6 weeks is equal to 12.07% of the total hours worked in a year.

    To calculate a zero-hours worker’s holiday entitlement, multiply 12.07% by the number of hours they’ve worked. For example:

    An employee on a zero-hours contract who works 10 hours in a week would get 72.6 minutes of holiday pay. Here’s how you work that out:

    12.07 ÷ 100 x 10 = 1.21 hours

    The result is 1.21 hours, which is equal to 72.6 minutes. That means you owe your employee around 1 hour and 12 minutes of holiday leave.

    FYI - Stole this from BrightHR.
     
    Posted: Aug 21, 2019 By: David White Member since: Jan 29, 2007
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  8. Newchodge

    Newchodge UKBF Legend

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    I just posted it from my own knowledge.
     
    Posted: Aug 21, 2019 By: Newchodge Member since: Nov 8, 2012
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