Holiday regulations for part-time and irregular-hour employees- Employment Law

For holiday years commencing on or after April 1, 2024, holiday entitlement calculations and compensation for part-year and irregular-hours employees must comply with the new regulations.

At the end of each pay period, holidays are accrued at a rate of 12.07% of the worker’s actual hours worked (barring periods of illness or statutory leave, in which case alternative regulations are applicable). 

Some can choose to utilise accumulated holiday pay or make a one-time payment for holidays taken. When selecting rolled-up holiday pay, employers are obligated to increase employees’ wages by 12.07% for completed work (calculated on all wages received). This increase must be deducted simultaneously from the employee’s base pay and specified separately on paystubs.

Flexible working – 6 April 2024 – Request flexible working

As of April 6, 2024:

  • Employees may request flexible work arrangements “day one” (instead of requiring 26 weeks of continual service). They are permitted to submit up to two statutory requests within 12 months (instead of just one).

  • Employees are no longer required to explain the anticipated impact of the change on the organisation and potential strategies for mitigating that impact.

  • The response deadline has been shortened from three to two months.

  • Refusing a request is not permissible unless the employee has been “consulted,” which typically entails a meeting.

  • On flexible employment, a new ACAS Code will be established.

Careers Leave – Comes into force on 6 April 2024

A new statutory right is granted to employees who provide notice to take carer’s leave on or after April 6, 2024. This right is to provide or arrange care for a dependent who requires long-term care. Employees may take up to one week of unpaid leave in each rotating 12-month period.

Paternity leave 

The following adjustments to paternity leave are applied if the anticipated week of childbirth commences on or after 6 April 2024, or if the anticipated date of adoption placement is on or after 6 April 2024:

  • Employees are granted the option to divide their two weeks of paternity leave into two distinct segments of one week, as opposed to being required to select between a single week and two consecutive weeks.

  • Employees may typically be granted paternity leave for the entire 52 weeks following a child’s birth or adoption, as opposed to just the initial 56 days.

  • While employees are still required to provide prior notice of their eligibility for paternity leave, they are only required to provide 28 days’ notice of paternity leave dates in birth-related circumstances.

Redundancy protection

At this time, if an employee undergoing maternity, shared parental, or adoption leave is terminated due to redundancy, an alternative employment offer is mandatory, provided that a suitable vacancy materialises. Extending this priority status as of April 6, 2024, to include:

  • Pregnant employees: commencing from the moment they communicate their pregnancy to you

  • Employees whose pregnancies terminate before 24 weeks of gestation due to miscarriage or stillbirth: a two-week interval following the termination of the pregnancy

  • Workers on maternity or adoption leave are entitled to 18 months following the birth or adoption of their child.

  • An employee may serve as a shared parent for a minimum of six consecutive weeks during the eighteen months following the birth or adoption of their child.

National minimum wage

As of April 1, 2024, the following national minimum wage rates will increase:

  • An increase in the national living wage for workers aged 21 and over, from the previous age of 23 and over, from £10.42 to £11.44.

  • Development rate (employees between the ages of 18 and 20): £8.60 versus £7.49

  • The young worker’s rate (for non-apprentices aged 16 and 17) will rise from £5.28 to £6.40.

  • Apprentice rate: increase from £5.28 to £6.40 for individuals under the age of 19 or aged 19 or older in their first year of apprenticeship.

Statutory rates    

As of April 7, 2024:

  • The weekly statutory payment for parental bereavement, adoption, shared parental, and maternity leave will increase from £172.48 to £184.03.

  • The weekly statutory illness pay will rise from £109.40 to £116.75.

Tribunal awards    

The compensatory award limit for terminations occurring on or after April 6, 2024, shall be reduced to the lesser of £115,115 (an increase from £105,707) or 52 weeks’ gross pay.

Beginning April 6, 2024, the weekly wage cap will increase from £643 to £700. Consequently, £21,000 will be the utmost amount of the basic award and statutory redundancy payment.

About Sinead - Sinead attended the University of Stirling where she achieved her LLB. She completed her Diploma in Legal Practice at Strathclyde University and in 2022, she gained a Masters in Public Policy from the University of Stirling. Sinead has progressed through the Firm to associate Solicitor. She assists with the daily management of the Firm, and its operations and policy as well as assisting in the development of our marketing strategy. Sinead manages our Client Services team and aims to ensure that the firm delivers an excellent and consistent level of service to all our clients.