UK'S LARGEST INDEPENDENT TAX WEBSITE
Are you a member ?
|
Home > Tax News > Government > Annual leave entitlement set to rise
Annual leave entitlement set to rise Print E-mail
User Rating: / 3
PoorBest 
Share on Facebook

The Government has published proposals to increase workers' minimum holiday entitlement from 20 days per year to 28. This means that up to six million workers would benefit from an extra eight days holiday each year under the plans. Some employers currently include the eight bank holidays as part of workers' 20-day annual leave entitlement (pro-rata for part-timers).  

The cost to business is expected to be around £4 billion per year. This represents around 0.4% of the wages bill. The cost of absenteeism in the workplace in the UK is currently estimated to be about £11.6 billion a year.

The Department of Trade and Industry (DTI) is launching a second public consultation on the implementation of the changes. Statutory annual leave entitlement would be increased in two stages, rising from 20 to 24 days on 1st October 2007, and from 24 to 28 days on 1st October 2008.

An increase would move UK workers' annual leave entitlement closer to that of workers in other European countries, where holiday allowance is typically more generous. Compared with the current minimum allowance of 20 days in the UK, for example, workers in Ireland are entitled to 29 days; the highest minimum entitlement is in Austria at 38 days.

Research by the DTI found that groups standing to benefit most from the changes include women, part-time workers, low-paid workers and workers from minority ethnic communities.

Jim Fitzpatrick
Jim Fitzpatrick
Commenting on the proposals, Jim Fitzpatrick, DTI Minister for Employment Relations, said:

"Most companies already recognise that good holiday provision makes good business sense. Holiday entitlement can be a key factor in recruiting and retaining staff. Holidays are also important for productivity as they help minimise sick leave and keep people motivated and refreshed."

Sarah Laing
Editor, TaxationWeb News

Link

Increasing the holiday entitlement - a further consultation

Comments
Only registered users can write comments!

About The Author

Sarah Laing

Sarah Laing
Editor, TaxationWeb News

Sarah is a Chartered Tax Adviser. She has been writing professionally since joining CCH Editions in 1998 as a Senior Technical Editor, contributing to a range of highly regarded publications including the British Tax Reporter, Taxes - The Weekly Tax News, the Red & Green legislation volumes, Hardman's, International Tax Agreements and many others. She became Publishing Manager for the tax and accounting portfolio in 2001 and later went on to help run CCH Seminars (including ABG Courses and Conferences).

Sarah originally worked for the Inland Revenue in Newbury and Swindon Tax Offices, before moving out into practice in 1991. She has worked for both small and Big 5 firms. She now works as a freelance author providing technical writing services for the tax and accountancy profession.

Article Added Friday, 12 January 2007 | 8513 Hits

 

Your attention is drawn to the disclaimer on this site, which applies to the content in this section. The content is based on tax legislation in operation at the time of publication, which may subsequently have changed. Whilst every care has been taken in its production, neither the author nor TaxationWeb Ltd. can accept responsibility for any action undertaken or refrained from as a consequence of this material.

"Upcoming HMRC Initiatives"

Click for

Tony Margaritelli's talk from the ICPA event

 

Tax Books

BOOK OF THE WEEK

Pension Choices: A Tax Guide 2014-15

A plain English guide to the rapidly changing tax rules for pensions, and to the part those rules play in tax planning

BOOK OF THE MONTH

Tax Planning 2014/15

Tax Planning 2014/15 covers the many situations and tax planning opportunities that practitioners encounter everyday when dealing with their clients? tax affairs. This book is full of easily implementable technical suggestions and advice.
Core Tax Annuals 2014/15 Full Set

Includes six Core Tax Annuals plus CD-ROM and are all fully updated to the latest Finance Act
Stamp Duty Land Tax (3rd edition)

A direct and approachable guide to the complexities of SDLT.
Employee Benefits & Expenses: 2-volume bundle

Clear, practical commentary on the taxation of employee benefits and expenses, across two volumes, with a discounted price when both books bought together.
Hitwise Award Winner Apr-Jun 2008 Hitwise Award Winner Jul-Sep 2008 Hitwise Award Winner Oct-Dec 2008 Hitwise Award Winner Jan-Jun 2009 Hitwise Award Winner Jul-Dec 2009 Hitwise Award Winner 2011 Alexa - Most popular news and media website

TaxationWeb Limited (Registered in England No. 4571386), 6 Coleby Avenue, Peel Hall, Manchester, M22 5HH, United Kingdom

By using this website, you agree to using cookies. Cookies are small text files stored on your browser when you use websites and applications (learn more about cookies).
You can control how websites use cookies by configuring the privacy settings within your browser (please refer to your browser help function to learn more about cookie controls).
Note that if you disable cookies entirely, there are parts of this website which may not function properly (e.g. logging in, commenting, etc).

Website by Dorifor Internet Marketing