Payment in Lieu of Untaken Holiday – Is it Legal?
Posted in : How do I handle it NI on 18 July 2017 Issues covered:"We recently purchased a business via a share sale. The transaction was rushed and little due diligence was carried out before the sale took place. Now that I have reviewed personnel files, I have discovered that employees were being paid in lieu of their annual leave without the employees actually having taken that leave. I don’t think this is legal – how do I handle it?"
Entitlement
Firstly, you should remind yourself what period of annual leave an employee is normally entitled to. A regular five-day-per-week employee is entitled to a minimum of 28 days paid annual leave per year, and part time employees should receive a pro-rata amount based on that.
Of course, an employer can require
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This article is correct at 18/07/2017
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