Annual Leave

Hi Everyone 

I am not sure if that is the right place to post my question but I hope i could pick your brains on something. What is the current law on calculating annual leave entitlement when someone is changing hours in the middle of the year. 

Specifically, do we treat the two periods, one before change , and the other after change separately? Or do we treat them as a whole one period, as an employee does not leave employment, just changes hours instead? 

Do we re calculate the first period , taking into account the hollidays already taken by that point, then calculating the remaining entitlement until the end of the second period and adding those?

Or do we simply add the overall entitlement for one period to the overall entitlement for the second period ( working out FTE of course) , but withought taking into account the hollidays already taken in the first period? 

Will be grateful for any advice, please.

 

Thanks

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Replies

  • Good morning

    Our company adopts the principle that if an employee changes hours / days etc, we will re calculate for the remainder of the Annual Leave year, based on their changes. The same as Susan has replied, we will then have two entitlements I.E before and after the change and then total them together

    Thanks

  • Hi

    I work in the public sector as a Payroll Officer aswell as HR.  Within my organisation the annual leave is calculated pro rata to the part time hours.  If the employee then reduces their hours further this is calculated seperately, but still giving a pro rata leave balance for the leave year.  for instance:

    Annual leave for full time employee is 28 days (207.2hrs) and full time is 37hrs

    Jo Bloggs works 24hrs per week.  Annual leave entitlement is 18.62 days (134.4hrs)

    Hours are reduced to 18hrs after 6 months in the leave year.  Annual leave entitlement is 13.62 days (100.8hrs)

    6 months at 24hrs, annual leave entitlement is 9.31 days (67.2hrs)

    6 months at 18hrs, annual leave entitlement is 6.81 days (50.4hrs)

    Total annual leave due for the leave year 16.12 days (117.6hrs)

    The above is based on monthly calculations for ease, however you can apply the same logic if calculating by /365 * days at each working hours rate

    I hope this helps, for further guidance contact ACAS

    Thanks

    • Thank you Michael and Susan for your replies. Susan this is the same way  I was basing my calculations on.  Thank you for anorher reassurance. The situation at work was a bit more complicated as the person was increasing their hours but equally had already overtaken the accrued annual leave to date.  Therefore what had been overtaken should be deducted in the next period. She claimed though that she should have added lots of extra leave on top of the remaining. Ohh I had really bad time as I work as HR Assistant but there is No one else in the HR team apart from me and had noone to ask to confirm things. So thank you so much for your help. 

      On a different note , confirmed my calculations with one of the employment law expert here on CIPD and they are really helpful, if anyone ever needs reassurance, I would definitely call them . 

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