This ruling has prompted the council to engage with the Joint Trade Unions to review how it pays holiday pay under the Normal Holiday Pay Framework (NHPF) to ensure it continues to provide a fair method of calculating holiday pay.
The NHPF provides a pro-rated payment of annual leave for additional elements of pay received in the previous financial year, including:
- all overtime (including guaranteed, contractual and voluntary)
- all enhancements received in relation to unsocial evening, weekend and bank holiday working
- standby and sleep-in duty allowances (including rostered standby and sleep-in duty allowances not undertaken due to you being on annual leave)
- minimum recall to work allowances and letting payments
- all travel time (not expenses) paid from home to first duty and from last duty home
The outcome of the review has highlighted that amending the fraction used to pro-rate holiday pay from 10.7% to 12.07% provides a fairer method of calculating holiday pay, especially for term-time workers and will apply from 1 April 2023.
If you are eligible and are currently in receipt of holiday pay under the NHPF (shown as ‘Add HolidayPay’ on your payslip), you will receive a top-up in November 2023 based on the new percentage used in the calculation. This top-up payment will be backdated to April 2023 and the adjustments will show as ‘Add HolidayPay’ on your payslip.
If you are currently eligible to receive holiday pay under the NHPF but the total amount due was £25 or less, you received your single payment in June 2023 (shown as 'Add HolidayPay’ on your June 2023 payslip). You will also receive a top-up in November 2023 based on the new percentage used in the calculation. This top-up payment will show as 'Add HolidayPay’ on your November 2023 payslip.
If you have any questions, please email firstname.lastname@example.org or tel: 01629 535119 option 3.