Workers have a statutory entitlement to 5.6 weeks' paid leave a year.
Calculating holiday pay for workers whose pay and hours are the same every week should be straightforward; generally, for each week's holiday they are entitled to their contractual week's pay.
Holiday pay for workers who do not have regular hours should be calculated based on their average weekly pay over a specified period.
Recent case law has established that employers should include commission and some types of overtime when calculating holiday pay. However, uncertainty remains over how employers should treat other variable elements of pay such as bonuses.
