Agency annual leave

MF290

I was working through an agency during my college holidays.
Am I entitled to 8% of hours worked including overtime or just 8% of my 39 hour week?
My understanding was 8% of all hours worked.
I sent an email stating this however I was paid at the lower rate.
Any help greatly appreciated.

Batgurl

MF290 wrote: »

I was working through an agency during my college holidays.
Am I entitled to 8% of hours worked including overtime or just 8% of my 39 hour week?
My understanding was 8% of all hours worked.
I sent an email stating this however I was paid at the lower rate.
Any help greatly appreciated.

What does your contract say?

dennyk

Here's what the law says:

(1) Subject to the First Schedule (which contains transitional provisions in respect of the leave years 1996 to 1998), an employee shall be entitled to paid annual leave (in this Act referred to as “ annual leave”) equal to—

( a) 4 working weeks in a leave year in which he or she works at least 1,365 hours (unless it is a leave year in which he or she changes employment),

( b) one-third of a working week for each month in the leave year in which he or she works at least 117 hours, or

( c) 8 per cent. of the hours he or she works in a leave year (but subject to a maximum of 4 working weeks):

Provided that if more than one of the preceding paragraphs is applicable in the case concerned and the period of annual leave of the employee, determined in accordance with each of those paragraphs, is not identical, the annual leave to which the employee shall be entitled shall be equal to whichever of those periods is the greater.

So if using the 8% method it should be 8% of your hours actually worked, including any overtime, though it's capped at a total of four weeks of leave in a single year even if you worked enough hours that year that 8% would be more than four weeks.

MF290

dennyk wrote: »

Here's what the law says:



So if using the 8% method it should be 8% of your hours actually worked, including any overtime, though it's capped at a total of four weeks of leave in a single year even if you worked enough hours that year that 8% would be more than four weeks.

It also states my options in my contract so I will take the issue up with them again even though I have stated how I wish to be paid twice already!

MF290

dennyk wrote: »

Here's what the law says:



So if using the 8% method it should be 8% of your hours actually worked, including any overtime, though it's capped at a total of four weeks of leave in a single year even if you worked enough hours that year that 8% would be more than four weeks.

Agency claiming that it is only 8% of hours (capped at 39hrs a week).
Anyone know if this is correct?

antix80

MF290 wrote: »

Agency claiming that it is only 8% of hours (capped at 39hrs a week).
Anyone know if this is correct?

Yes, it sounds correct.

Your statutory entitlement is 8% - subject to a maximum of 4 working weeks.

Your contract may specify a higher entitlement. So if they say "8% of hours worked" it would appear that's what you'd be due. It's unlikely the agency would make a mistake like that.

I dug out an old agency contract of mine as an example. It says Payments for annual leave will be calculated at a rate of 8% on basic hours worked each week and at the rates paid during the Client’s normal working hours i.e. those which do not attract overtime rates of pay.

MF290

antix80 wrote: »

Yes, it sounds correct.

Your statutory entitlement is 8% - subject to a maximum of 4 working weeks.

Your contract may specify a higher entitlement. So if they say "8% of hours worked" it would appear that's what you'd be due. It's unlikely the agency would make a mistake like that.

I dug out an old agency contract of mine as an example. It says Payments for annual leave will be calculated at a rate of 8% on basic hours worked each week and at the rates paid during the Client’s normal working hours i.e. those which do not attract overtime rates of pay.

Thanks, my contract only states the law around annual leave. When I worked in the uk I'm fairly sure I was paid 8% for every hour worked but maybe that's not the case.
Hard find info online.
There was a lot of mistrust about agencies so maybe I'm just being a bit cynical.

dennyk

MF290 wrote: »

Agency claiming that it is only 8% of hours (capped at 39hrs a week).
Anyone know if this is correct?

The law clearly says "8 per cent. of the hours he or she works", not "8 per cent. of the hours he or she is contracted to work". The Act defines "work" as follows:

“working time” means any time that the employee is—

( a) at his or her place of work or at his or her employer’s disposal, and

( b) carrying on or performing the activities or duties of his or her work,

and “work” shall be construed accordingly.

Seems to me that means "hours he or she works" would include any ad-hoc or scheduled overtime hours for the purpose of calculating annual leave entitlement, whether using the 8% method or determining whether the employee has worked enough hours to qualify for the monthly or annual leave entitlements. (Incidentally, it also includes time spent out on annual leave, maternity leave, paternity leave, adoptive leave, force majeure leave, and certified sick leave...)

Note that ad-hoc overtime hours worked usually don't count towards calculating your rate of pay for your annual leave time, though, only your leave entitlement itself. If you are regularly officially rostered and scheduled to work overtime hours, however (as opposed to your boss saying "Hey MF290, we need you to stay late to finish this today" from time to time, or you staying late on your own initiative to complete your assigned work), that may need to be taken into account when calculating the rate of pay for your leave time.