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Holiday Accrual during maternity leave, returning to work part time

Hello

I have an employee who will return to work after their 52 weeks of maternity leave. She has obviously accrued her holiday entitlement during her mat leave. She did not take any time off at the end of her maternity leave and of course will have the option of carrying the accrued holiday over into the next full holiday year.

This lady was working full time when she went on maternity leave.

However, as this employee is returning on a part time basis, the number of holiday days that have been accrued now translates into a very significant number of weeks of holiday. It is highly unlikely that she will be able to take all of that time off, even with a year to do so. Am I correct in thinking that if this is the case, this employee will simply loose that time once the next holiday year passes? 

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  • Hi Sarah

    The law on statutory minimum paid leave supports a use it or lose it approach, unless the person has been unable to take the leave because of long-term sickness. I am not aware of any case law that applies the same logic to holiday accrued on maternity leave. Any holiday over and above the statutory minimum needs to be treated in accordance with your policy.
  • Hi Sarah,

    I have an identical scenario at my work too.

    What I have done, and think is a fair approach, speak to the employee and inform her that whilst on maternity leave she has accrued holiday entitlement as a full time employee and that as she is now returning to work part time, her holiday entitlement from her return date will be pro-rated. I suggest that the holiday she has accrued is backed on to the end of her maternity leave and then from the date she returns, she receives her pro-rated entitlement. Hope this helps!
  • I had a similar situation some years ago, when the manager brought to my attention that the employee's holiday entitlement would make her involvement in a business-critical project almost impossible (actually, he was certain there was no "almost" in it, but I was less convinced). With impressive timing, she had begun her maternity leave five days after the start of the holiday year, so had carried over a portion of the previous year's allowance and bundled up the whole of the following year's allowance, and then returned with the full new year's allowance. I think, all totalled up, she had over 60 days' holiday owing.

    Between him and his returner, I agreed how much was considered to be viable to carry over and we paid the rest off.