If you had members of staff who were on furlough during the last tax year, it could be a case of them still having holiday entitlement that needs to be taken. To make this easier to manage, the government introduced a law in 2020 that allows employees to carry over up to four weeks of statutory paid holiday into the next two holiday leave years. This specifically applies to any holiday days not taken due to the COVID-19 pandemic. 
Common examples are employees who were either sick, self-isolating, on furlough, or had continued working and unable to take paid holiday due to the strain placed on the business by limited staff numbers. By applying the law mentioned above, it should be relatively easy to allow your employees to take all of their holiday leave entitlement. As for any employees who leave their jobs and are still owed paid holiday leave, this must be added to their final pay packet. 

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If you’d like some tailored advice that will help you to run a smooth, effective and compliant business, please call our Yorkshire office on 01482 235575, our London office on 0207 885 0605, or fill in the contact form below. 
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