Last year I informed you all of the changes to holiday calculations following the court ruling in Harpur Trust. The court ruled that holiday entitlement under the Working Time Regulations 1998 for permanent part-year workers should not be pro-rated so that it is proportionate to that of a full-time worker. As a result of this part-year workers are entitled to a larger annual paid holiday entitlement than part-time workers who work the same total number of hours across the year.
The government now proposes to introduce a holiday entitlement reference period of 52 weeks to ensure that holiday entitlement and pay is directly proportionate to time spent working. It proposes to include the weeks in which workers perform no work in the holiday entitlement reference period. The consultation closes on 9 March.
Once we have further information, I will update and advise you how to apply your holiday entitlements going forward.