Mark the date in your diaries: Friday, 29 April 2011 is a public holiday to celebrate Prince William’s marriage to Catherine Middleton.
How does your organisation manage public holidays: as part of your employees holiday allowance, or additional to their holiday entitlement? The wording within your contracts can make a significant difference.
In England and Wales, the Working Time Regulations entitle (full-time) workers and employees to a legal minimum of 28 days paid leave each year. There is, however, no statutory right to take off public and bank holidays. It all depends on what the employee’s contract of employment indicates.
Most employees will find their holiday entitlement is expressed within their contract as ‘28 days, including the normal public and bank holidays’. Some employees, however, will find their contract states they are entitled to 20 days, plus public and bank holidays. The difference is crucial (especially next year).
An employee entitled to 28 days including public and bank holidays could, next year, be asked to include 29 April 2011 within their 28-day holiday entitlement. In other words, although they might not have to work on the day of the Royal Wedding, the 29th April 2011 will be included in their allowance rather than given as an additional paid leave day.
If, on the other hand, the employees contract suggests that their holiday entitlement is 20 days, plus public and bank holidays, they will automatically benefit from an additional day’s paid leave next year.
Of course, if the contract simply says 28 days annual leave to be taken during the year, the employer is not obliged to allow the employee to take the bank holiday off. Depending on the nature of your business, it may well be intrinsic to your success that you remain open on public and bank holidays and that employees take their holiday on other days.
Check your contracts!
Whilst a business might be within its right to ask staff to work (or take within their standard holiday allowance) the 29th April 2011, most organisations will, of course, offer the Royal Wedding day in 2011 as an additional day off regardless of contractual wording.
In spite of the potential loss of revenue to businesses (it is estimated that an additional public holiday could cost the economy as much as £6 billion), trying to avoid giving employees an extra day by relying on advantageous wording within a contract of employment should be considered very carefully – especially when the day has been given for such a momentous occasion. It is also interesting that statistics show that there is a marked increase in productivity in the days prior to and following public and bank holidays.
Whatever the legal position, a more flexible and “generous” approach is often more beneficial to all concerned. Such an approach encourages trust and loyalty within an organisation.
As this information has been prepared by Maitland Walker LLP as a general guide, we recommend you seek specific professional advice before acting on any information contained within it. No liability can be accepted by Maitland Walker LLP for any action taken or not taken as a result of this information.