Hourly rates and the WTD

Working on a temporary basis usually means working on an hourly basis and usually that you are paid for every hour that you actually work. On a permanent salary you often have to work over your standard hours for no more money.

We explain how your hourly rate is calculated on the salaries page

Under current legislation you are also entitled to some element of holiday pay if you work under a PAYE scheme. LAW Absolute pays a temporary worker at his/her base rate (hourly rate excluding any working holiday pay component) for every hour worked. The additional holiday component of your hourly rate accrues in to a holiday pot, from which we then pay you when you take any holiday. We keep a strict record of all hours worked by every temporary worker via LAW Absolute. At any one time, we can advise a temporary worker how much paid time off they are entitled to under the Working Time Directive by use of an equation which takes into account the number of hours already worked by the temporary worker via LAW Absolute. Once you have accrued the right to take paid leave, and request it, we can pay you for the amount of leave which you have accrued.     

Essentially the right to paid holiday is intended as a health and safety measure under the Working Time Directive which states that all employees are entitled to 28 days (including bank holidays) paid leave in a leave year. Temporary workers should endeavour to take their full 28 days each year as otherwise there is the possibilitiy you will forfeit the right to any outstanding paid leave for that year.

The calculation of holiday pay is at the rate of 12.07% (28 days holiday over 48 weeks worked in a year) of every hour worked. 

In order to receive holiday pay you must request and be granted leave. Alternatively if you have accrued leave within a leave year and your contract with LAW Absolute is terminated within that leave year, either because you request a P45 or there is no further work available for you, you are entitled to claim your accrued holiday pay as a lump sum net of tax. This is the only situation in which you can be paid the money in lieu of taking actual holiday.

When you make your holiday request, LAW Absolute will calculate the amount of holiday pay that you have accrued, divide this by your average daily earnings over the previous 12 weeks (or if you have worked less than 12 weeks for LAW Absolute then the calculations will be based on the number of days that you have actually worked thus far) and calculate what your accrued entitlement is to paid holiday.