Holiday entitlement and pay

New guidance on calculating holiday entitlement and pay has been launched by the government. It follows Brexit, with certain EU legislation that had been retained falling away at the end of 2023.

The guidance sets out changes to the Working Time Regulations 1998, introduced from 1 January 2024.

The key areas affected include irregular hours and part-year workers where leave years start after 1 April 2024; ending of Covid-19 carryover of leave; rates of holiday pay and annual leave; and rolled-up holiday pay (permitted for irregular hours and part-year workers).

For employees with predictable working patterns, the new rules mainly restate the existing position.