Holiday Pay and Schools

Holiday Pay and Schools

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A client runs a pre-school and insists that they and "many other pre-schools" actually pay staff for their holiday entitlement, while not paying them when they are not actually working (as well as not allowing holidays during term time, which I suspect is OK and normal in schools).

This smacks of paying statutory holiday in lieu - which I understand is illegal and has been for a little while now.

Has anyone else here got pre-school clients who still use this practice? Or is there some obscure exception to this aspect of the law?

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By justinelaws
27th Apr 2010 15:08

Misunderstanding?

As I see this it is one of three things:

Paying (for example) 44 weeks termtime plus 5.6 weeks as a yearly total spread for ease over 12 months - perfectly fine.

or

From the link below - NOT fine

Rolled-up holiday pay

It's unlawful not to pay a worker while they are on holiday and instead include an amount for holiday pay in the hourly rate of pay - something known as 'rolled-up holiday pay'.

You must therefore always pay a worker their normal pay while they are actually taking their leave.

or

Insisting on paying staff instead of allowing them to take holiday - not fine.  Staff must take 4 weeks leave and may, with employers permission carry over the remaining entitlement (intot he following year only) but CANNOT be paid in lieu of statutory holiday unless employment is terminating.

This is useful

http://www.businesslink.gov.uk/bdotg/action/detail?itemId=1073792640&type=RESOURCES

And yes, quite normal for it not to be permissible to take holidays in term time. As pre-school I presume they may be open throughout the year?

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By User deleted
27th Apr 2010 18:37

In the pre-school case I work with

During the year the staff are paid an hourly rate for the hours they work, which change from month to month depending on the number of children starting and leaving.  Obviously most kids leave in July so there is a dip in hours from September which then increases throughout the academic year.

The staff are not allowed to take holiday in term time and are each allocated an allowance of 5.6 weeks paid holiday, which they can 'choose' when to take as paid.  Basically they get paid for the equivalent of 5.6 weeks over and above that they actually work.

In reality all take it in the summer school holiday.  But in theory they can choose to be paid in the Christmas or Easter holidays or a half term rather than earn nothing in that time.

It is not 'rolled up' holiday pay as it is separately paid, and I think meets the legislation.  Your case seems to be that they are saying they include it in the hourly rate, which would be illegal.

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By User deleted
27th Apr 2010 20:32

College of further education

I worked for one of these in 2004/5 and did about an hour a week over a couple of terms. In other words, very little in terms of hours.

I got paid an hourly rate and then a separate amount for holidays.

 

 

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By User deleted
27th Apr 2010 21:37

Our Preschool

The preschool which I am a committee member of pays staff their sessions/hourly rate during the 38 weeks term time and then half pay for the 14 weeks school holidays. Staff are not supposed to take time off in term time unless exceptionally circumstnces.

 

 

 

 

 

 

 

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