Top six payroll and HR issues: March 2010

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The Institute of Payroll Professionals’ Diana Bruce offers an update on recent developments in payroll and HR.

Employment law

Guidance on annual leave and sick leave

The Department for Business, Innovation and Skills (BIS) has published guidance on the interaction of sick leave and paid annual leave following the European Court of Justice (ECJ) decisions in the Stringer v HMRC and Pereda v Movilidad cases. These cases make it clear that:

  • Statutory holiday continues to accrue during sick leave.
  • Workers can take their statutory holiday during sick leave but if they choose not to, they must be allowed to take it a later date, including in the following leave year.

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