paying overtime in holiday pay

[Guest111]

The latest daft idea they've come up with is that you should receive overtime in your holiday pay!Who came up with that daft one?How can you get o/t pay if you aren't there?Where I served my time there was always o/t available at weekends,however you had to be in all week to be allowed to do o/t,that stopped people having a day off midweek and making it up with a Saturday morning.Mind you my old boss was clever,everyone got paid on a thursday back then however our firm paid out on Friday,the bosses reason was that if you got paid on Thursday you'd go out on the lash Thursday night and not turn in on Friday.

 

[Sintra]

I've always been under the impression that holiday pay was paid from national insurance contributions. So when overtime is done then contributions are higher so holiday pay should also be more. I may be way off track with this.

 

[LeeH]

I read this too, I'm going to email HR but I know what the response is going to be!

I think it is UNITE that is driving this.

 

[Octopus]

I'm Self employed - who will pay my over time? sick pay? holiday pay?

Hum....

 

[Guest77]

It is paid in holiday pay in Australia and in europe, about time we caught up with the modern world.

 

[ifindoubtdont]

In places I have worked it's only when you crack the 40hrs a week barrier that you get paid at overtime rate and then it's a month in hand, so knocking a day off midweek isn't going to help.

 

[Guest77]

I'm Self employed - who will pay my over time? sick pay? holiday pay?

Hum....

I think the 30 quid an hour you charge plus mark up of 15-20% on materials and only 20% tax covers all your overheads.

 

[Diddy]

This is in response to the fact that some employers give out contracts that state 16hrs per week but you always work 35hrs. That way they got round paying you proper holiday and redundancy ect. This also covers bonuses if they are a constant in your weekly wage. Again some employers were paying min wage and then doubling the pay to avoid the same. As for the retrospective aspect, while I can sympathise on one hand this case has been going on for years as the EU had already made it quite plain that the working time directive and associated legislation was designed to this end. Only UK firms thought it was "ok" to treat the workforce like this. Think I saw that John Lewis had already put aside £40m to cover this - so it was not a complete surprise.

 

[Guest77]

This is in response to the fact that some employers give out contracts that state 16hrs per week but you always work 35hrs. That way they got round paying you proper holiday and redundancy ect. This also covers bonuses if they are a constant in your weekly wage. Again some employers were paying min wage and then doubling the pay to avoid the same. As for the retrospective aspect, while I can sympathise on one hand this case has been going on for years as the EU had already made it quite plain that the working time directive and associated legislation was designed to this end. Only UK firms thought it was "ok" to treat the workforce like this. Think I saw that John Lewis had already put aside £40m to cover this - so it was not a complete surprise.

Yes very true, most managing directors of large companies are members of the conservative party.

 

[UNG]

I'm sure this holiday overtime thing is not new seem to recall something similar about 12 - 15 years ago being brought in and as an employer at the time being conveniently forgotten as the payroll programme couldn't automate it

 

[staggie65]

This is where working OT is a contractual requirement, in which case it is looked at as regular pay and should be pro rata when receiving holiday pay.
It's true as self employed I too don't receive it. But then again I used to pay in one month more tax than I now pay all year on my self employed earnings.
Swings and roundabouts

 

[staggie65]

I should have stated I paid more tax as an employeePAYE

 

[Octopus]

I think the 30 quid an hour you charge plus mark up of 15-20% on materials and only 20% tax covers all your overheads.

You forget the 9% NI that I pay too, and why do you think I charge £30/hr?

 

[netblindpaul]

I've not read the whole thread, but as an ex-employer of quite a few, I still get updates on hot business topics, from various, supposedly reputable sources.
This I have been led to believe is to do with for example, employing people on a 20hr contract, giving them holidays & holiday pay based on their 20hr contract, but, actually employing them for 40+hrs per wk, the additional being "overtime" thus the employee is "loosing" out on their holiday entitlement compared to someone else working the same hours on a 40hr contract.

 

[Sintra]

I've not read the whole thread, but as an ex-employer of quite a few, I still get updates on hot business topics, from various, supposedly reputable sources.
This I have been led to believe is to do with for example, employing people on a 20hr contract, giving them holidays & holiday pay based on their 20hr contract, but, actually employing them for 40+hrs per wk, the additional being "overtime" thus the employee is "loosing" out on their holiday entitlement compared to someone else working the same hours on a 40hr contract.

So this new ruling wouldn't apply to a person on a 37.5 hour contract working 70+ hours per week.

 

[netblindpaul]

I don't know Sintra, this was what was in a newsletter thing I had a couple of days ago, it was I admit, before the case was concluded.
I have had nothing since then, I don't know the details of the case only the info that was sent to me.

 

[mechelec]

So this new ruling wouldn't apply to a person on a 37.5 hour contract working 70+ hours per week.

I hope it does !

 

[Barry White]

Your holiday entitlement is based on how many days/hours you work a week by employment law https://www.gov.uk/calculate-your-holiday-entitlement/y
So if you work overtime you will be entitled to more holidays. (thats how i understand it anyway)
Some firms give low hours contracts 16 to 20 and therefore low holiday entitlement and expect the workers to work 40 hrs.
zero hours contracts are based on what you work in the last 12 week.

Some firms give extra holidays than the statuary minimum wonder if they will be affected ? Suppose we will soon find out

 

[Guest77]

You forget the 9% NI that I pay too, and why do you think I charge £30/hr?

If your not happy with your rate then raise it, as a self employed person you shouldn't care less about what holiday pay an employee of another company gets, you make your own money, come on man whats your outgoings got to do with what other people get?