Just taking on a new payroll client, they run 3 small coffee shop type businesses, mix of full time and part time staff. It's only been operating 2-3 mths. The current payroll bureau has been including holiday pay each month based on the hours worked. So when an employee does take time off it's 'unpaid' as they have already been paid.
I can't say we have come across this before, seems to have some merits in that you haven't got to work out their entitlement but I wonder if the staff fully realise what will happen when they have time off i.e. no pay.
Has anybody else come across this?