Holiday Pay System vs. Time and a Half

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Hey all,

I'm hoping the financially minded amongst you can help me solve an argument I was having with my boss today.

Basically I said in passing that Tesco would be getting time and half over the jubilee weekend and holiday and that we remain on the same pay, they also get +£2.50p/h for working past midnight, we get +£0.50p/h. I said that the time and a half system is far more profitable to a holiday pay system (I think we get 5p on every hour worked or something) and he exploded at me stating that the company in number one in the world for looking after its employees and that the system is for the financial gain of the employee etc.

Personally I think its a crock of bull.

Thoughts?
 
I don't understand your system... 5p for every hour worked? £100 a year assuming a full time job?

Time and a half would be better than that...

I don't feel that I understand what you are saying enough to really give you an answer, however it looks as if he is either trying to browbeat you into accepting it, or he's saying that the total package you get is better.

I don't know if you have share options, or a non-contributory part to your pension, what health package you get, what sick pay you get etc.
 
I don't understand your system... 5p for every hour worked? £100 a year assuming a full time job?

Time and a half would be better than that...

I don't feel that I understand what you are saying enough to really give you an answer, however it looks as if he is either trying to browbeat you into accepting it, or he's saying that the total package you get is better.

I don't know if you have share options, or a non-contributory part to your pension, what health package you get, what sick pay you get etc.

We don't even get paid leave, the system they have is so complex that unless your a salaried employee its impossible to calculate...

I'm trying to find exactly how much holiday pay I get but it isn't easy :S
 
We don't even get paid leave, the system they have is so complex that unless your a salaried employee its impossible to calculate...

I'm trying to find exactly how much holiday pay I get but it isn't easy :S

If you are full time, then you should at least get the legal requirement of 28 days minimum paid holiday.
 
If you are full time, then you should at least get the legal requirement of 28 days minimum paid holiday.

I'm a student, so when it isn't term time i'm 45h+/w.

During term I'm 13h/w.

So it's mostly part time, so the pro rata becomes difficult to calculate.
 
I see... however the 5p per hour thing doesn't seem to make sense. Nor do I understand how it has any relation to the holiday pay you did, or didn't get over the Jubilee weekend.
 
Holiday Pay: I earn a tiny bit extra money over the entire year, which my employer holds onto until I cash it out.

Time and a half: Over the entire year I am paid time and a half (or double time) dependant on what day it is, bank holiday etc.
 
That doesn't help...

Because as far as I'm aware a long time ago employers were forced to stop people accruing holidays in the method you've explained, unless that's an ex gratis payment on top. I might be wrong about that, but I'd be surprised. It used to be that you'd earn your holidays through the year, but employers now are forced to give you holidays even if you hadn't earned them by that point in the year.

The 5p thing would probably relate to how many hours you get paid when you're on holiday. Employers used to hand out an 8 hour a week contract and expect you to be in 40 hours a week, and pay you 8 hours a week holiday pay. As far as I'm aware that one is gone too and now have to pay you an average of what you've worked. I'm less sure on that though.

Time and half... err, I don't understand the context of what you've said. Other than you do get +1/2 for bank holidays, but am I understanding you right in you saying that Tesco are getting +1/2 for the Sat/Sun and not just the Mon/Tue?
 
I'm a student, so when it isn't term time i'm 45h+/w.

During term I'm 13h/w.

So it's mostly part time, so the pro rata becomes difficult to calculate.

Calculate it out on here http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10034642

If your 5p an hour extra works out that pro data you get your full pay for your holiday pay then it's all good. If not then your company is cheating you out of your legal requirement. You should get you normal pay for your holiday pay.
 
I'm a student, so when it isn't term time i'm 45h+/w.

During term I'm 13h/w.

So it's mostly part time, so the pro rata becomes difficult to calculate.

its not difficult at all and the pay team should work it out instantly for you.



PS im 99% sure tesco get time and a half plus a day in lieu on bank holidays...
 
I don't even get time and a half on holidays.

Not even xmas day...

When I said time and a half system I just meant that pay system normal people use..
 
Calculate it out on here http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10034642

If your 5p an hour extra works out that pro data you get your full pay for your holiday pay then it's all good. If not then your company is cheating you out of your legal requirement. You should get you normal pay for your holiday pay.

It gets rather complicated when variable hour contracts are involved. The law states you receive a set number of days off based on how many days a week you work, or alternatively 12.07% of your working weekly hours for an irregular worker, which works out at roughly 7 minutes for each hour worked.

http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10034642

Whether the employer is right in this case largely depends on the employees hourly rate, but it could well be correct.
 
Its the same as Mcdonalds.

You work one hour and you are paid for that 1 hour your hourly rate of pay. A percentage of that hour of pay is calculated as your holiday pay entitlement. (At Mcdonalds it was 7.5%) the more hours you work and the more you earn the more holiday pay you accure, if you work on a bank holiday you get time and a half you get extra holiday pay accurement for that day. If you work full time you would work 48 weeks from a 52 week year this is 92.3% of the total year so the 7.5% you accure should give you enough to have 4 weeks off with your normal rate of pay. Work more and accure more. We had one little lady that never had any time off that I ever knew about in the 5 or 6 years I worked there I think she had about £2000 in her holiday account when she left.
 
Its the same as Mcdonalds.

You work one hour and you are paid for that 1 hour your hourly rate of pay. A percentage of that hour of pay is calculated as your holiday pay entitlement. (At Mcdonalds it was 7.5%) the more hours you work and the more you earn the more holiday pay you accure, if you work on a bank holiday you get time and a half you get extra holiday pay accurement for that day. If you work full time you would work 48 weeks from a 52 week year this is 92.3% of the total year so the 7.5% you accure should give you enough to have 4 weeks off with your normal rate of pay. Work more and accure more. We had one little lady that never had any time off that I ever knew about in the 5 or 6 years I worked there I think she had about £2000 in her holiday account when she left.

That's actually my employer :P

You can't store holiday pay anymore, its cashed out on the anniversary of your employment.

At national stores there is no time and a half anymore. Never, all wages are flat rate.

So would I be right in saying this:

Having made ~£6k last year I worked ~1100h @£5.37. 12.07% of that works out at about 132 hours. Is that shift hours or day hours? Cos either I was only entitled to 5.5days paid leave or a fair few 8 hour shifts!
 
You're entitled to 28 days paid leave a year. The whole calculation they're doing is to work out how much they pay you during that point.
 
It gets rather complicated when variable hour contracts are involved. The law states you receive a set number of days off based on how many days a week you work, or alternatively 12.07% of your working weekly hours for an irregular worker, which works out at roughly 7 minutes for each hour worked.

http://www.direct.gov.uk/en/Employment/Employees/Timeoffandholidays/DG_10034642

Whether the employer is right in this case largely depends on the employees hourly rate, but it could well be correct.

That is exactly the point I made, even down to the link I posted :confused:
 
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