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A question about holiday entitlement

11 replies

medjool · 08/07/2012 15:52

I am getting very confused with the draft contract I've received to review from my nanny PAYE provider. I am employing a nanny Tues-Friday and I don't understand if I have to give bank holidays (Mondays) in lieu or if it's irrelevant as the nanny will be working another job on that day.

Mr Anchovy/NannyNick/anyone else, please can you explain and perhaps recommend wording for a contract so it's clear to both me and the nanny I am employing?

TIA!

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nannynick · 08/07/2012 16:06

Your nanny does not work Monday's, so no bank holiday Mondays have to be given off, no time off in lieu. There are other bank/public holidays that will fall on a working day... see Direct.gov: Bank Holidays

When a public/bank holiday falls on a working day, do you want your nanny to work that day, or do you want them to take it as part of their annual leave?

Is your nanny working the same hours each day, or do the hours worked vary?

What will you do about the .4 of a day? It can not be rounded down. You can provide more holiday than statutory holiday entitlement.

Possible wording:
Holiday Entitlement
You are entitled to statutory holiday entitlement of 5.6 weeks, as you work 4 days per week, your holiday entitlement is 22.4 days. When a bank or public holiday falls on a working day, you will be required to take that day as part of your annual leave.

Keep wording simple, easy to understand.

medjool · 08/07/2012 18:37

Thanks nannynick. what confuses me is that 5.6 weeks includes bank holidays, so really I won't be offering 22.4 days. Can I say something like 14 days (3 full days and a half day on fri) plus all bank holidays which fall on a normal working day?

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nannynick · 08/07/2012 20:02

5.6 weeks CAN include bank holidays. It CAN NOT include any days which the employee would not be normally working, so you can't include Mondays.

It is up to you as the employer to decide if you want to include bank/public holidays that fall on a working day (tue-fri in your case) within the 5.6 weeks, or if you want to give those days as extra paid time off.

Can I say something like 14 days (3 full days and a half day on fri) plus all bank holidays which fall on a normal working day?

No because the bank/public holidays that fall on a Tue, Wed, Thur vary year to year. Only Good Friday would be a fixed day of the week. Christmas Day and Boxing Day vary as to the day of the week, as they are specific dates.

If your nanny is working half a day on a Friday, you may be better calculating holiday in Hours rather than days. That way your nanny could take off Fridays if they wished (using say 6 hours) or a Tue/Wed/Thur (using 12 hours).

If your nanny is doing 3.5 days per week, then 3.5 x 5.6 = 19.6 days, which you could round up to 20 days. Bank holidays that fall on those days would be .5 of a day for Good Friday. Xmas and Boxing day (when they fall on a working day - which they will until 2014, when the 26 Dec will be a Friday, so a .5 day).

I am not sure how you get 14 days plus bank holidays, as there are only 4 bank holidays in 2013 that fall on Tue-Fri (New Years Day, Good Friday, Xmas Day, Boxing Day). Thus total of 17.5 days (.5 being the Friday), not 19.6 days.

The holiday entitlement bit of the contract needs to work for all years, not just a specific year otherwise you will have to be changing the contract each year.

nannynick · 08/07/2012 20:07

Note: for the hours bit of my last post, I have assumed your nanny works a 12 hour day but only works a 6 hour day on a friday. You would need to replace those figures with the actual working hours.

So if you nanny worked 8 hours Tue/Wed/Thur and 4 hours on Fri, then you would use those figures to work out holiday entitlement:
8+8+8+4 = 28 hours
x 5.6 = 156.8 hours
Round Up to whole hours: 157 hours

Then whenever they took off a Tuesday you deduct 8 hours, if they take a friday you deduct 4 hours.

If they wanted lots of days off, they could in theory take off lots of Fridays. However as the employer you get to decide to approve not approve holiday requests, so you have some control over when they take the holiday.

nannynick · 08/07/2012 20:24

It may be easier for you to think in terms of 5.6 weeks NOT including bank holidays, as for part-time workers it does not include them.

It CAN include them if the employer so chooses - but only those that are on a working day.

Direct.Gov says:
You don't have an automatic right to paid leave on bank and public holidays, though many people receive the day off work. Any right to time off or extra pay for working on a bank holiday depends on the terms of your contract of employment.

nannynick · 08/07/2012 20:27

In the past before the changes to bank holidays, Full Time nannies would often have in their contract 4 weeks holiday plus bank holidays. If you work that out for someone working full time, that's the same as 5.6 weeks.

5.6 weeks was introduced as it is fairer for part-time employees, as they may not be working on a day that a bank holiday falls - as is the case with your nanny who won't be working Mondays.

medjool · 08/07/2012 23:03

Thanks nannynick but I'm still completely confused about what will happen in terms of Monday bank hols based on the 1.6 weeks extra mentioned in the contract. All public holidays will automatically be included as holiday, but I don't understand what the deal is in terms of Mondays as there are 4 definite Monday bank holidays, which my nanny will not be working for me (and likely will be for someone else). Is my nanny effectively getting 4 days in lieu from me or these bank holidays? Can I therefore change 5.6 weeks in the contract to be the equivalent of the 4 days bank holidays which won't fall on a Monday which she will be assured of - i.e. 4.8 weeks holiday, or is this illegal? She has another job which she will be working on a Monday if this is at all relevant.

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medjool · 08/07/2012 23:04

Really sorry if this sounds stupid. I'm honestly a relatively intelligent person, but I just can't get my head around this!

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medjool · 08/07/2012 23:10

Just reread all and saw this bit which makes perfect sense. Will fwd to PAYE people. Thanks NN, all makes sense. And in answer to your q, I'd round holiday up - I'm sure my HR dept has rounded my 0.4 of a day down in the past though...

Holiday Entitlement
You are entitled to statutory holiday entitlement of 5.6 weeks, as you work 4 days per week, your holiday entitlement is 22.4 days. When a bank or public holiday falls on a working day, you will be required to take that day as part of your annual leave.

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MrAnchovy · 08/07/2012 23:12

5.6 weeks at 3.5 days a week is 19.6 days, this cannot be rounded down so would normally be rounded up to 20 days. This is the statutory minimum, you cannot give less than this, so choosing a smaller number and adding on whatever bank holidays happen to fall on working days is not a very good solution - note that in the next 12 months there are 3.5 bank holidays on Tues-Fri (with Fri as a half day), and the same in the next 12 months but in 2015/16 only 2.5.

The PAYE provider's contract therefore provides the best solution, although if you prefer to state it in days you could put 20 days instead.

MrAnchovy · 08/07/2012 23:14

Oops, crossposted - you seem to be OK now :D

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