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Holiday pay entitlement when notice period straddles two holiday years


Thank you both of you! Now it looks like my house move is going to be slipping until the end of April (don't even get me started!) so I'm going to quit in time to finsih my notice before the start of April, so this should no longer be a problem.

I checked my contract and it said that holiday accrued but not taken by the leaving date would be paid. It doesn't mention either way whether I can or should attempt to take the holiday during the notice period. If the house move now won't be happening during my notice period, then I think I'd rather take the money and be paid for all 12 days outstanding leave.

If work would rather I take 12 days off in March then I'm fine to do that, but I doubt they will plump for that option as this would have me leaving somewhere around 12th March - and my boss is on holiday from next Monday until the 10th so would only give us two days handover. Also another member of my team is leaving early March, so I expect they would prefer an extra few weeks of my time and pay me the holiday money.


2/19/2008 7:12:54 PM

Following on from Bubbles suggestion, it will rather depend on your contract and the company's practice.

Often (but not always) contracts will specify that leave cannot be taken during a notice period, or at least any leave must be specifically approved by your manager - in practice probably not that different to the normal situation for taking leave!

If they do not allow you to take your accrued holiday then they will have to pay you for it. So you have nothing to lose in saying to them when you give in your notice "I have 12 days left, will you pay it all off when I leave or do I need to take some of it before then?".

Be aware that some companies have the opposite policy - that they will not pay any outstanding holiday, so you will have to take all of your 12 days off before you finish. Of course this would then severely reduce your time at work during your notice period, so they may not be so keen on their policy, but again, specifically ask about it, and if they are agreeing to anything that isn't in line with your contract or their usual policy, get it in writing, just in case they try to argue that, for example, they never pay outstanding holiday, so it's your fault if you didn't take it.

There is some protection against losing holiday to do with statutory holiday entitlement, but it's often not all that clear, as your company entitlement will usually be higher than your statutory allowance, and the statutory days include bank holidays, etc.

monkey steve

2/19/2008 10:06:47 AM

I suppose putting-on my employer's hat as well as devil's advocate robes, your employer might just possibly still come back and say 'we approved your 7 days holiday thinking you'd return as normal: now you're on notice, we need you to be around to facilitate job hand-over etc., therefore we cannot now agree to your taking this holiday' -but that's probably most unlikely and questionable contractually and you could always seek to negotiate payment in lieu for whole or part thereof.......


2/19/2008 9:06:34 AM

Thanks bubbles. I think you're right - it's not worth risking losing the seven days.

I guess I just need to decide whether I'd rather have seven days off (and book them off before resigning) or seven days extra pay (and quit in time to finish before the end of March).

I'm very soon to be moving house so the completion date for that might sway me one may or another whether the extra time or the extra money would suit me best.


2/18/2008 10:28:45 PM

It might well be safer to get the 7 days hol. approved to be taken before the end of March, *before* you actually resign, and then as at the date of expiry of your notice you'll be due the 5 days carried-over plus any piffling amount applicable to the new holiday year - this assumes that there's no contractual restriction on taking holidays whilst working notice.


2/18/2008 10:17:26 PM

Holiday pay entitlement when notice period straddles two holiday years


I'm thinking of handing in my notice on 5th March, making my last day 4th April. My work's annual leave year runs April-March and I still have 12 days left to use for this year. Contractually we're only allowed to carry five over to the next year (so if I was staying I'd need to take 7 days holiday before then end of March or lose them).

As my notice would straddle two 'holiday years' would I, as of my leaving date of 4th April only be entitled to pay for the 5 days I can contractually carry over to April? Or, as I will be quitting during THIS holiday year, am I likely to still get my full 12 days?

Obviously if I'm only likely to be able to claim pay for the 5, I do not want to lose the additional 7 days! In this case would I be better booking 7 days holiday for March BEFORE I resign and hope they will honour those days during my notice period? Or maybe I would be best quitting a week earlier (so that my last day would be 28th March - still in this holiday year) and taking the payment for the full 12 days?

Sorry, I do tend to ramble a bit - I hope all this made sense! Any advice would be great!

LM x


2/18/2008 10:01:36 PM