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Holiday pay extended
00:00 04 Jul 2001
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Thousands of construction workers on short-term contracts are set
to cash in on holiday pay entitlements thanks to a European court
ruling.
The government has started immediate consultations with industry on amendments to the Working Time Regulations which will remove the 13-week qualifying period necessary to receive entitlement to paid annual leave.
The move follows last week's judgement by the European Court of Justice that the qualifying period set by the current UK Working Time Regulations is unlawful and contrary to the provisions of the EU Working Time Directive.
It means that a full-time employee will now be able to take two days paid holiday after one month's work.
Bob Blackman, national construction secretary at the TGWU, said: "The regulations were brought in as a health and safety measure. There is no qualifying period for health and safety.
"Unfortunately, the regulations were drafted in this country as if they were an extension of employment legislation. Once you have a qualifying period, you have opened up a loophole for employers to dodge holiday pay.
"Construction employers have exploited that loophole very successfully by putting people on short-term contracts. The loophole is now closed."
Announcing the change, employment relations minister Alan Johnson said: "The government will be consulting urgently on draft regulations and guidance which will bring the Working Time Regulations into line with the terms of the judgement.
"As part of the consultation we will be proposing a system of accrual in the first year of employment providing one twelfth of the annual entitlement in each month, rounded to the nearest full day. This would mean that a full-time employee could take two days after one month."
The Department of Trade & Industry says this does not mean that workers will be able to take four weeks paid annual leave at the start of their employment. But, if the employment ends during the first 13 weeks, they will be able to claim for leave which has been accrued but not taken during that period.
The government has started immediate consultations with industry on amendments to the Working Time Regulations which will remove the 13-week qualifying period necessary to receive entitlement to paid annual leave.
The move follows last week's judgement by the European Court of Justice that the qualifying period set by the current UK Working Time Regulations is unlawful and contrary to the provisions of the EU Working Time Directive.
It means that a full-time employee will now be able to take two days paid holiday after one month's work.
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Bob Blackman, national construction secretary at the TGWU, said: "The regulations were brought in as a health and safety measure. There is no qualifying period for health and safety.
"Unfortunately, the regulations were drafted in this country as if they were an extension of employment legislation. Once you have a qualifying period, you have opened up a loophole for employers to dodge holiday pay.
"Construction employers have exploited that loophole very successfully by putting people on short-term contracts. The loophole is now closed."
Announcing the change, employment relations minister Alan Johnson said: "The government will be consulting urgently on draft regulations and guidance which will bring the Working Time Regulations into line with the terms of the judgement.
"As part of the consultation we will be proposing a system of accrual in the first year of employment providing one twelfth of the annual entitlement in each month, rounded to the nearest full day. This would mean that a full-time employee could take two days after one month."
The Department of Trade & Industry says this does not mean that workers will be able to take four weeks paid annual leave at the start of their employment. But, if the employment ends during the first 13 weeks, they will be able to claim for leave which has been accrued but not taken during that period.
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