Holiday calculations of term time only workers

We have recently had a number of enquiries regarding holiday calculations for employees and specifically those concerning term time only workers. Further clarification on this was provided by the Supreme Court in 2022.

On 20^th July 2022, the Supreme Court handed down its decision in the case of Harpur Trust v Brazel, which addressed the calculation of holiday entitlement for term-time only workers in England.

Ms. Brazel, a music teacher employed by Harpur Trust on a term-time only basis, argued that her holiday entitlement should be calculated based on 12.07% of the hours she worked during the academic year, rather than the 12.07% of the hours worked that is typically used for calculating holiday entitlement for full-time employees.

The Trust argued that the standard calculation was appropriate for term-time only workers as well, and that the alternative calculation proposed by Ms. Brazel would result in an unjustified windfall for term-time only workers.

The Supreme Court ultimately sided with Ms. Brazel, holding that the standard calculation of holiday entitlement is not appropriate for term-time only workers. The Court reasoned that term-time only workers work irregular hours over a shorter period than full-time workers, and that the standard calculation would not properly reflect their entitlement to annual leave.

The Court went on to hold that the appropriate calculation of holiday entitlement for term-time only workers is to take the average number of weekly hours worked during the academic year (which should be calculated over a reference period of 52 weeks), and multiply that by 5.6 (the statutory minimum entitlement for annual leave). This approach ensures that term-time only workers receive the same proportionate amount of holiday entitlement as full-time workers.

The decision has significant implications for employers who have term-time only workers, particularly those in the education sector. Employers should review their holiday entitlement policies and practices to ensure that they are compliant with the Supreme Court’s decision.

The Supreme Court’s decision in Harpur Trust v Brazel provides important guidance on the calculation of holiday entitlement for term-time only workers in England. Employers should take note of the decision and ensure that their policies and practices are compliant with the Court’s ruling.

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