Coronavirus Job Retention Scheme: Zero Hours Contracts

(asked on 12th July 2021) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether staff employed on zero hour contracts, who receive their holiday pay as an average of their earnings, are entitled to receive their full holiday pay entitlement through the Coronavirus Job Retention Scheme; and whether there are requirements under that scheme for employers to provide employees with written confirmation of holiday (a) entitlement and (b) payment whilst being furloughed.


Answered by
Jesse Norman Portrait
Jesse Norman
This question was answered on 15th July 2021

Individuals, including those on zero-hour contracts, can take paid holiday, and continue to accrue holiday entitlement, while on furlough.

If a furloughed worker takes holiday, the employer should pay them their full holiday pay, calculated in accordance with BEIS guidance. Employers will be obliged to fund any additional amounts over the Coronavirus Job Retention Scheme (CJRS) grant.

BEIS has published guidance covering how holiday entitlement and pay operate during the coronavirus pandemic, where it differs from the standard holiday entitlement and pay guidance: https://www.gov.uk/guidance/holiday-entitlement-and-pay-during-coronavirus-covid-19.

There is no requirement specific to the CJRS scheme in which the employer will need to provide written confirmation to workers of holiday entitlement and holiday payment while on furlough.

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