The Clarity Blog

Holiday Pay

Confused over holiday pay?

The rule of thumb for holiday pay is to decide whether an employee is receiving less pay whilst they are on annual leave than they would whilst working. If they are worse off, they are less likely to want to take annual leave and that is against the fundamental principle of employees being able to take leave. If this is the case in your organisation, you are at risk of a claim for backdated holiday pay.

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