Can an employee be required to use up outstanding holiday entitlement during their notice period?
Under reg.15 of the Working Time Regulations 1998 (SI 1998/1833) an employer may nominate dates on which an employee must take some or all of their statutory annual holiday entitlement, provided that the employer gives the required advance notice. The notice required is a minimum of twice as many days as the number of days' holiday that the employer wishes the employee to take. For example, the employer would have to give at least two weeks' notice in advance of the start date of a period of one week's holiday leave. These provisions may, however, be varied or excluded by a relevant workforce agreement. Where no such agreement exists, these provisions will apply.
Whether or not it is technically possible for an employee to use up all their annual holiday entitlement during the notice period will depend on the length of the notice period in relation to the length of the outstanding holiday entitlement. If the notice period is not long enough to allow for the notice period for the holiday, plus the period of holiday leave itself, it will not be possible for the employer to ask the employee to use up all their outstanding holiday in this way. If, by the time the employment comes to an end, the employee has not used up all their outstanding holiday entitlement, they will be entitled to be paid for any remaining outstanding holiday for the current holiday year.
The above relates to the 5.6 weeks' statutory minimum annual holiday that employers must grant all workers under the Working Time Regulations 1998. If an employer grants employees more than the 5.6 weeks' holiday entitlement, the position with regard to any additional holiday will depend on the terms of the employee's contract or any contractual policy on the timing of holiday that the employer has in force.