How to manage the additional bank holidays in 2023/2024

Kendal Hulme, our Head of Operations, provides a legal update on the upcoming additional bank holiday explaining whether employers are obligated to give their employees the extra day off or not.

Over the last 2 years, the government have announced an additional 3 bank holidays. Last year employers navigated the Queen’s Platinum Jubilee and the Queen’s Funeral. This year to celebrate His Majesty the King’s Coronation, another has been declared for 8^th May 2023.

Whether you are obligated to give your employees this additional day of celebration depends on the wording of your employment contracts.

If your contracts of employment state:

• XX Days plus Bank Holidays then you will be obligated to give your employees the additional bank holiday off. Depending on the wording of your contracts you may be able to give this day in lieu at an alternative date if you require your business to remain open and employees to work.
• XX Days plus 8 Bank Holidays then you are not obligated to give your employees the additional bank holiday. You may wish to do so though.
• XX Days inclusive of Bank Holidays then employees must take the additional Bank Holidays out of their normal holiday entitlement if the business decides to close on the day.

Managing Bank Holidays where the Holiday year runs in Financial Years 23/24

Depending on the term your holiday years run, and the wording of your employment contracts, some employers may find themselves with questions from their employees from 1^st April 2024.

If your annual leave year runs alongside the financial year (April – March), it will mean that there are only 7 Bank Holidays, not 8, in the 2024/2025 holiday year. This is due to an early March Easter Bank Holiday rather than typically in April. The table below outlines the different circumstances in each upcoming year. 

As above, whether you are required to give an additional day that year depends on the wording of your employment contracts.

If your holiday year runs from April to March and your contracts state:

• XX Days plus Bank Holidays then you do not need to give your employees an additional day. They are only entitled to however many Bank holidays there are in a year.
• XX Days plus 8 Bank Holidays then you are obligated to give your employees an additional day of paid leave. This is because they are contractually entitled to 8 a year. This can be added to their annual allowance.
• XX Days inclusive of Bank Holidays then you are not obligated to give an additional day. They are only entitled to however many Bank holidays there are in a year.

Different Bank Holiday circumstances depending on holiday years

Do you need any advice on how to calculate and navigate annual leave complexities? If so, please get in contact  with one of our trained Consultants who will be able to support you and your business.

T: 0330 107 1037

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