Decision details

Statutory Changes to the Council's Holiday Pay Calculation

Decision Maker: Employment Committee

Decision status: Recommendations approved

Is Key decision?: No

Decisions:

The committee considered a report advising that, following a number of legal cases that have passed through the employment tribunal system, employers were now required to include a number of previously excluded elements of pay in their statutory holiday pay calculations.

 

It was noted that the proposals now presented had been subject to negotiations with trade unions through the Joint Negotiating and Consultative Forum (JNCF), and that agreement had been reached on a method to comply with the statutory obligations, including in relation to back pay, based on a applying a plusage to all qualifying leave.

 

The report also outlined proposals to bring arrangements for part time working additional hours in line with the proposals for full time staff, as well as outlining an updated approach to casual workers holiday pay plusage in line with Acas advice.

 

It was confirmed that provision had already been made in the Medium Term Financial Strategy for the additional costs involved.

 

It was also noted that the calculations to be used would not exclude workers whose additional hours were seasonal. 

 

The committee were advised that the changes would take effect from 1 June 2018.

 

Resolved: That, with effect from 1 June 2018:

(i)  The payment of a 7.67% plusage on top of relevant, qualifying elements of pay claimed by employees in order to meet the council's obligations in relation to the payment of holiday pay be approved.

(ii)  Arrears of pay (back pay) payments of up to two years for eligible employees be approved.

(iii)The reduction of the current holiday plusage, paid to part-time employees who work additional hours up to 37 hours per week, from 10.74% to 7.67% in line with the proposal in respect of full time employees, be approved.

(iv)An increase in the current holiday plusage paid to casual workers on all hours claimed, from 10.74% to 12.07% in line with advice from the Advisory, Conciliation and Arbitration Service (Acas) be approved.

 

Report author: Kelly Gilman

Date of decision: 14/05/2018

Decided at meeting: 14/05/2018 - Employment Committee

Accompanying Documents: