What happens to the balance of an employee's accrued annual leave when he or she transfers in a TUPE situation?Posted in : First Tuesday Q&A NI on 1 March 2016 Issues covered:
The balance of a transferring employee's annual leave entitlement for the annual leave year transfers to the new employer under TUPE. The transferor does not have to pay the employee for accrued but untaken holiday at the date of transfer. The transferee must allow the employee to take the balance of the leave entitlement before the end of the annual leave year.
For example, if the transferor's leave year runs from 1 January to 31 December and the transfer takes place on 1 October, if an employee has an entitlement of 28 days' holiday and has taken 10 days at the date of the transfer, the transferee must allow him or her to take the remaining 18 days at some point between 1 October and 31
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Back to Q&A's This article is correct at 01/03/2016
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