Lots of our travel industry clients and candidates have been asking me what the policy is regarding taking holidays during furlough. As always, nothing is simple! The government has clarified issues and provide guidance relating to furlough and holiday pay. However I found a simplified version written by Carrianne Matta, an expert from Stephens Scown. Happy Holidays!
Do employees continue to accrue holiday whilst on furlough? Yes – they do accrued leave as per their employment contract. If the employee gets more than the statutory holiday (5.6 weeks), then you can ask them to agree to reduce that holiday down to the statutory amount only for the period furlough. You cannot impose this though – it has to be with their consent and should be within the furlough agreement letter. Can employees have holiday paid whilst on a period of furlough i.e. if a furloughed employee takes annual leave, should they be paid at 80% or 100%? Yes – employees can take holiday whilst on furlough. They should be paid as normal.