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Use it or Lose It!  Why you must remind employees to use up their annual holiday entitlement

What if your employees don’t take all their holiday entitlement within the year?  Surely, they lose the right to take the holiday? In most cases, yes, they lose the right to take the holiday, but it depends on various things.  Things such as the reason why they have not taken their holiday. Or what it says in their contract of employment.

If someone has been off sick and so has not been able to take their holiday, then you should consider allowing them to carry the remaining holiday over to next year.  Similarly, if they have been on maternity leave or parental leave then they will still have built up holiday entitlement.  So they must be given the opportunity to take it, or carry it over to next year.

Additionally, you may have a clause in your contracts of employment which allows people to carry forward some of their holiday until the next holiday year.

Isn’t it a good thing for the Business if people don’t want to take all their holiday?

 You might think your business benefits from the additional work you are getting if people don’t take all of their holiday.  After all, you have to pay them anyway, so if they choose to work, rather than take their holiday, then that is surely a good thing?

You should be concerned if people are not taking holiday.  My advice would be for you to find out what the reason might be.  You may not need  to look any further than your mirror.  If you do not take all of your holiday, then you are unconsciously giving out the message that you do not expect other people to do so.

Similarly, is there is a culture in the organisation that people regularly do not take all of their holiday entitlement?  If so, then individuals may be frightened of upsetting their colleagues if they take “too much” time off – even if it is their entitlement!  We all want approval and appreciation from those around us (particularly the boss) and some people may be fearful of the consequences if they do not conform.

What about wellbeing?

 Another major consideration should be the health and wellbeing of your workforce.  People need to have regular breaks from the workplace to maintain their emotional, mental and physical health.    If they are not using all of their holiday entitlement, then they are not getting the most from their opportunities to refresh themselves.

Although it appears that you are getting “more work” from people who are not taking all of their holiday, it may well be that you are actually only getting “more presenteesim”.  They may be in the workplace more often, but will their output be of a high quality? If they are tired, stressed and in need of a break, then they are not likely to be producing their best efforts on your behalf.

But how can I make people take holiday if they don’t want to?

 Of course, you cannot force people to use up their holiday.  But you should be encouraging them to do so.

If you and your managers lead by example and ensure you use up all of your holiday, then your employees will feel comfortable in doing the same.   Make sure you use regular discussion with your employees to reinforce the message that they should be using all of their holiday each year.

Regular reminders about using holiday should be issued during the whole year. You don’t want everyone to leave their holiday until the last minute and all rush to book it in the last quarter of the year.  Regular reminders should help to manage the flow of holiday requests.

Finally, in the third quarter of the holiday year, you could send out a reminder to the whole workforce that there is only limited time to use up their holiday and that you expect them to do so.

Not my responsibility

 You may feel that it is not your job as employer to be reminding people to use up their entitlement.  You do your bit by giving them the entitlement. If they choose not to make use of that, then that is their choice.  This, of course, is true – up to a point.

However, a recent legal case in the EU reminds employers that it is their responsibility “diligently” to give the employee the opportunity to take their holiday and to remind them of their right to take it.

If you think this article is useful and you would like to know more,  please join our mailing list, or contact us for further guidance.

 

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