Statutory annual leave is the legal minimum amount of paid holiday that almost all workers (including casual and agency staff) are entitled to. This is currently 28 days. In the UK this usually includes the 8 statutory bank holidays (although there is no legal right to actually have these days off, unless this is stated in a contract of employment).

Part time workers are entitled to a pro rata amount of leave. You do not need a minimum period of service before you accrue the right to paid leave, although your employer can specify when you take your leave, for example over a summer or Christmas shut-down.



Annual leave should not be replaced by a cash payment, except where there is accrued holiday at the end of employment, in which case the worker is entitled to be paid for this.

Holiday pay is either based on salary, or on the last 12 weeks average earnings if earnings are variable. The position is more complicated for those who usually receive commission based pay but such workers must not be disadvantaged by taking their leave.

Staff who are off sick or on maternity leave still accrue the right to paid holiday.

Example:
Clare works on a casual basis at a restaurant and her hours vary every week. In August she applies for paid leave from her employer. This is agreed, and Clare is paid for seven days leave based on her average earnings over the preceding twelve weeks.