Annual Leave and Holiday Pay Policy - July 2026
In this section
- 6. Holiday Pay on Termination of Employment
- 7. Sickness and Holiday
- 8. Holiday Entitlement and Long-Term Sick Leave
- 9. Use of Annual Leave for Phased Returns to Work after Long Term Sickness Absence
- 10. Ensuring Equality of Treatment
8. Holiday Entitlement and Long-Term Sick Leave
An employee who is absent on sick leave will continue to accrue their full statutory holiday entitlement in line with the UK’s Working Time Regulations, i.e. 28 days per annum inclusive of the 8 Bank Holidays listed in paragraph 7 above. However, contractual holiday entitlement (as detailed in paragraph 2 above) over and above the minimum statutory holiday entitlement will not accrue during any paid or unpaid period of sick leave once an employee has been continuously absent for a period of 4 weeks. For the purpose of calculating the period of continuous absence, the Council will disregard a return to work that is less than ten working days, or a period of paid holiday while on sick leave.
* Where the employee returns to work following long term sick leave, statutory holiday entitlement accrued should be taken in the same leave year where practicable. The Council may require an employee to take all or part of their accrued holiday on particular days as determined by the line manager and service requirements. (See paragraph 17 for notice periods in such cases).
Where the employee is absent for the whole leave year or there is insufficient time for the leave to be taken in the same year, the employee will be permitted to carry forward the statutory element of any accrued leave into the next leave year.
An employee on paid or unpaid sick leave may apply to take their accrued paid holiday entitlement while on sick leave. The holiday dates must be approved in accordance with this policy. For the purposes of sickness absence management this will be regarded as a continuous period of sickness absence and will not change an employee’s entitlement to sick leave or pay.
Employees on paid or unpaid sick leave are permitted to travel for holidays or other purposes, but should be aware that if they do something inconsistent with their stated reasons for sickness absence or something that worsens their illness or prolongs their absence, the Council reserves the right to stop statutory sick pay and / or occupational sick pay, and in some cases, this may result in disciplinary action.
