Bank holidays and part time entitlement
It's that time of year when Bank Holidays are aplenty and, weather permitting, it's time to fire up the barbecues or join the traffic jams heading for the coast, and this year (2022) we are getting an additional day for the Platinum Jubilee.
The Background
Behind the fun is a serious point though: have you ever heard a part time employee complain they're penalised by their bank holiday entitlement? I certainly have. In this blog I will explain the fairest way to calculate holiday entitlement, explain why some part timers feel aggrieved, and help you to respond.
Firstly, it's worth noting that pro rata holidays only apply for someone who doesn’t work every day, with a consistent number of hours. It can get a little confusing, so here is a short guide to making the calculations add up to ensure fairness for everybody.
To make it easy I will assume that your full-time employees work 5 days a week Monday to Friday, and for the part timer we will say they work on Mondays, Tuesdays and Wednesdays. Obviously, this isn’t an issue for certain industries, such as hospitality, where they normally will give an annual holiday allowance that includes Bank holidays, as everyone will need to take holiday if they want the Bank holiday off.
The fairest way to calculate
Part time workers have the right to not be treated less favourably than a comparable full-time worker. Equally though a part timer should not be treated more favourably. Reducing holidays for those working a shorter week is therefore, the most equitable solution. Here’s the calculation, using our '3 day a week' employee:
Why do some part timers feel aggrieved?
It’s all to do with flexibility - and Mondays are especially irksome for a part time employee. If you've ever wondered why a lot of part time employees don't like working on a Monday I will help you to see why.
It is expected that for every bank holiday which falls on the days they are contracted to work this will be deducted from the overall entitlement.
In 2022, there are 6 bank holidays which fall on a Monday, 2 on a Tuesday, none on a Wednesday.
Therefore, out of the 17 day entitlement, our example employee would have to deduct 8 days automatically to cover those bank holidays which they are contracted to work. This leaves 9 days for them to do with as they wish.
Compare this to someone who works 3 days a week but on a Wednesday, Thursday and a Friday. They work the same number of days but are only contracted to work on 3 of the bank holidays. This would leave them with 14 days for them to do with as they wish.
Exactly the same entitlement just a lot less flexibility if your part timer works on a Monday.
So, how do you explain that it's fair?
The simple answer is there’s no other fair way to do it.
You have to pro rata bank holidays, irrespective of whether or not they fall on the day which the employee normally works.
I hope this helps to explain it but if you are need of further assistance, please do not hesitate to contact Edelweiss HR. Here to remove the headache from any people related problem.
The role of HR in a business and the value it adds is sometimes misunderstood!
We see that there are two sides to HR, results-oriented, strategy focused leadership and management of people, (People Operations) and the Legal, ethical and structural organisation of employees and teams (HR).
The basics
Unless you're a sole trader, you employ at least a few people - maybe dozens or even hundreds. And you owe those people a certain duty of care.
At its most basic, that means making sure that everyone knows:
For most companies, this is all imparted to employees in the form of a company handbook. A lot of businesses don't actually have all their rules collated anywhere, leaving managers and employees alike in a state of uncertainty when something goes wrong.
Unless there are clear guidelines in place, small matters can spiral out of hand and you could lose a good employee, or find yourself in a tricky situation which can be expensive and time consuming. Or, you might find yourself with a team member who is not the right fit but it is difficult to manage them out of the business.
A human resources consultant (like Edelweiss HR) will sort all that out for you in the form of a company handbook. That sets the bar for everyone's behaviour - which in turn is the basic level of forming a company culture. Company values can also be included to help everyone understand how you want your business run.
Not everything is plain sailing...
In the last two years the work place has changed as have attitudes to work and how teams and individuals perform best.
There is a new challenge as we adapt to balancing working from home and returning to the office.
Plenty of people feel happy to manage all kinds of situations themselves, but asking difficult questions is... well... difficult. So this is where an HR professional could work with you. Although HR is sometimes seen as an ally of management (by disgruntled employees in particular) what we try to do is find a solution to a variety of situations that works for everyone. It may be that the person is suffering outside of work, or feels intimidated or harassed by a colleague so it is in everyone's interest to get to the truth and find something that works. That could range from sorting out a staged return to work, liaising with medical professionals, or disciplining the person.
Now I can see from here that you are very smart and capable, but even if you are smart and capable and willing to deal with this kind of thing on your own, you have to make sure you're operating within the letter of the law.
Many companies use a solicitor to try to mitigate against that - and there's nothing wrong with that. But...
In a way then, you might want to think of HR as a buffer' between you and potentially expensive legal situations. Dot the I's and cross the T's and you significantly reduce your chance of exposure to legal action.
The nicer things
The People Operations side of HR can also help you to make a happier workplace.
At Edelweiss HR we believe that by establishing the right company culture and values teams work better, more effectively and less problems arise.
We think creatively about how to rewards excellence.
It could be in the form of structured bonuses paid on the achievement of certain targets. Or it could be that you have a generous holiday entitlement. Or, increasingly, things like in-office perks such as flexible working hours, or away days to build team morale.
Again, perhaps you might be thinking: "well I could do that myself!" and you could be right - but like a lot of things in business, you might consider delegating the introduction and management of these things to either someone in the business, or an external consultant, like Edelweiss HR, you can then focus on other areas to grow your business.
About Edelweiss HR
At Edelweiss, we believe that people are the most important asset in any business. We provide a bespoke service and offer pragmatic, creative advice and support, entirely appropriate to your business needs. Sustainability is a core value of ours. It affects our business both internally and externally, we try not to travel unnecessarily, and we are embracing social marketing helping us move towards a sustainable business, by building a better online presence and by building our online community.
There are loads of things that Edelweiss HR can do for you, but hopefully this gives you some idea of the scope of what we can do for your business. What give us a call to chat about what we can do for you.
