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MILS HR UPDATE – CALCULATING ANNUAL LEAVEBack

MILSLogo2In the recent case of Greenfield v The Care Bureau Ltd the Court had to consider how to calculate a worker’s entitlement to annual leave.

The Court ruled that:

  • a worker’s entitlement to minimum paid annual leave must be calculated by reference to the days, hours and/or fractions of days or hours worked and specified in the contract of employment
  • where a worker’s hours increase in the holiday year, a new calculation must be performed for the period during which working time increased
  • the same principle applies for the purposes of calculating the annual leave entitlement and for the purposes of calculating entitlement to pay in lieu of leave accrued but untaken upon termination of employment.

Calculating holiday entitlement can be difficult for employers to grapple with.  As an RMI member you have access to the RMI legal advice line, as well as a number of industry experts for your assistance. Should you find yourself in any difficulty, contact us at any stage for advice and assistance as appropriate.

Andrew Macmillan, Solicitor, Motor Industry Legal Services

Posted by Sue Robinson on 04/03/2016