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IF you’ve been put on furlough by your boss, you may wonder what will happen to your employment rights including annual leave, holidays and maternity and parental pay.
The government’s coronavirus job retention scheme covers 80 per cent of the wages of furloughed workers, to a maximum of £2,500 per month.
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The payment relates to gross pay and will be backdated to March 1, lasting for an initial period of three months, but will be extended “if necessary”.
The scheme means you’ll effectively have your job frozen during the coronavirus pandemic, but even then you still have rights.
Below we explain everything you need to know.
How does furlough affect annual leave?
The amount of holiday you get each year will depend on the type of contract you’re on.
In the UK, full-time workers and employees are entitled to a minimum of 28 days’ paid holiday a year.
This is equivalent to 5.6 weeks, and can include bank holidays.
Zero hour and agency workers have the same entitlement to paid holiday, based on the average hours they have worked.
Part time members of staff get get paid holiday too, but it will be the number of days worked a week multiplied by 5.6.
Holiday pay – what happens if you can’t take holiday
HERE’S what options you have if you’re unable to take holiday.
When can your boss deny your holiday request?
As a general rule you need to give your boss a notice period of twice the amount of time you are taking for your holiday.
For example if you request five days of holiday you have to provide a minimum of ten days’ notice.
Your boss can force you to take holiday at certain times of year like Christmas and New Year or bank holidays when your workplace may be closed.
Companies can also set limits on how many days in a row you can take off to stop just taking a whole month off at once.
My boss won’t let me take any of the dates off that I have suggested
See how much time off the people you work with have taken off as well as how far in advance they let their boss know they were going to take time off.
See if they got similar treatment or if you are being unfairly treated.
You have a statutory right to your holiday and if you feel that is being infringed upon you can go to court.
Before you make a claim you need to talk to the Advisory, Conciliation and Arbitration Service (Acas).
They will try one last time to reconcile the issue, and if that fails they will give you guidance on how to make an employment tribunal claim
How do I calculate my holiday entitlement?
You can use this tool to calculate your holiday entitlement depending on your work status.
In most situations, employees and workers should use their paid holiday (“statutory annual leave”) in their current leave year.
It’s important as it helps you get enough rest and keep physically and mentally healthy, Tom Neil, senior adviser at the Advisory, Conciliation and Arbitration Service (Acas), told The Sun.
He added that although HMRC is still working to finalise the coronavirus job retention scheme, indications are that furloughed workers can still take annual leave in the usual way.
So, although an employee would receive 80 per cent from the government, employers would then most likely top up pay to meet their holiday pay obligations.
Can I carry my holiday allowance into next year if I’ve been put on furlough?
Workers may be able to carry over any unused holiday days, but the decision will ultimately be down to your employer.
The government has just introduced a temporary new law allowing workers to carry over up to four weeks’ paid holiday over a two-year period.
This has been designed for staff who’ve been affected by coronavirus – for example, those who’ve had to self-isolate or key workers who’ve had to cancel holiday so they can keep working.
But again, it’ll be up to your employer to allow you to do this – they don’t have to let you carry holiday over.
Acas said it understands that furloughed workers are covered by the new two-year holiday carry over law too.
But added that it’s waiting for HMRC to implement the scheme.
Meanwhile, it’s likely that employers may ask employees to take some holiday during furlough to make sure that when work does return there is enough of the workforce available.
If you’re worried about using all your holiday, it’s worth discussing your options with your boss.
How does furlough affect maternity leave?
The normal rules for maternity and other forms of parental leave and pay apply, meaning you still have a right to pay rises, build up holiday and return to work.
But you can’t be put on furlough if you’re already off work and receiving maternity pay.
Mr Neil said: “If you’re currently off and receiving statutory maternity, paternity, adoption or shared parental pay then your employer cannot put you on furlough until this leave comes to an end.
“While you would remain on leave, if you are receiving contractual maternity, paternity or adoption pay – then according to the current advice from HMRC on GOV.UK employers could reclaim 80 per cent of your pay through the scheme.”
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Statutory Maternity Pay (SMP) is paid for up to 39 weeks.
For the first six weeks, you’ll receive 90 per cent of your average weekly earnings before tax.
And for the next 33 weeks, you’ll get either £151.20 or 90 per cent of your average weekly earnings (whichever is lower).
If you want to receive 80 per cent of pay on furlough you’ll need to give notice to end your maternity leave, said charity Maternity Action.
It won’t be a suitable option for many as you can’t go back to maternity leave when the furlough scheme ends.
You’ll also need to agree first with your employer that you’ll be put on furlough, you don’t have an automatic right.
Plus, you usually have to give eight weeks’ notice to return early from maternity leave, said charity Working Families.
But an employee and employer can agree between themselves to give a shorter notice period or no notice period at all.
Also keep in mind that you must take a minimum of two weeks’ maternity leave after your baby is born.
How does furlough affect parental pay?
Similar to staff on maternity leave, workers on paternity, adoption and shared parental leave will also continue to receive statutory pay from the government.
Statutory Shared Parental Pay (ShPP) is paid at the rate of £151.20 a week or 90 per cent of your average weekly earnings, whichever is lower.
This is the same as SMP except that during the first 6 weeks SMP is paid at 90 per cent of whatever you earn (with no maximum).
Once again, staff won’t be entitled to parental pay and 80 per cent of their salaries at the same time.
We’ve rounded up what help is available if you’re struggling to pay your rent or mortgage during the coronavirus crisis.
What is statutory sick pay and how much will you get due to coronavirus?
Here are your financial rights if you or your family get coronavirus and can’t work.
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