Holiday pay entitlement

[IRumsey]

Hi all. This is my first post so bear with me.

I've just been told by someone who used to work in a recruitment agency that by law the agency has to provide two weeks (pro-rata) paid holiday to the contractor. Apparently it has to be paid at whatever your basic rate is.

My agent takes approximately £1k a month and I've just had a two year extension so it would be nice to think that I was able to get some of that back for myself since they don't have to do a lot for it.

It seems strange that I've never heard of this law before. Does it really exist or is my source mistaken?

[ASB]

Hi all. This is my first post so bear with me.

I've just been told by someone who used to work in a recruitment agency that by law the agency has to provide two weeks (pro-rata) paid holiday to the contractor. Apparently it has to be paid at whatever your basic rate is.

My agent takes approximately £1k a month and I've just had a two year extension so it would be nice to think that I was able to get some of that back for myself since they don't have to do a lot for it.

It seems strange that I've never heard of this law before. Does it really exist or is my source mistaken?

It's true or false depending upon whether the agency is your employer or not.

Holiday pay is a legal requirement for an employer. Some may argue that it is "rolled up" into the gross payment but that is at best questionable after an EU ruling. There is no requirement for bank holidays, so the 20 day entitlement can include those. Part time it's all pro-rata.

But, you do need to consider that the employers only source of income is from the billings you gain them. Holiday pay has to come out of that, this obviously will tend to impact on your share since all they can do is retain "your" money to give to you later.

Normally then if you operate via a ltd then it is your ltd you need to be attacking, if it's an umbrella it will be the umbrella and if you are an employed temp it will be the agency.

[r0bly0ns]

Holiday pay is a legal requirement for an employer. Some may argue that it is "rolled up" into the gross payment but that is at best questionable after an EU ruling. There is no requirement for bank holidays, so the 20 day entitlement can include those. Part time it's all pro-rata.

Increased to 24 days earlier this year.

Increasing again next year I believe.



I hope all you contractors take your full entitlement and don't work yourselves too hard....

[Dark Black]

My staff are bone idle and lazy

I'm not paying them to take holidays - they get minimum wage and like it..