Holiday pay and overtime

Author
Discussion

Rtig

Original Poster:

192 posts

132 months

Sunday 4th September 2022
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When should overtime be taken in to account for holiday pay?

For example:
Full time contract with a set monthly salary paid for 7.30-16.30 Monday to Friday, overtime paid for any hours worked outside of these hours.
Overtime is not guaranteed but is mentioned in contract that it is necessary for the role.
On a monthly basis 90-130 hours of overtime is normal and overtime paid is always at least 80% of basic salary.


AndyAudi

3,265 posts

229 months

Sunday 4th September 2022
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Can sometimes depend on industry/contract.

However, I think if a fixed monthly salary instead of paid by the hour then, the overtime is not generally taken into account for holiday pay. You’d just get normal salary

ETA I haven’t had to calculate for a while, I see others are suggesting it should be

Edited by AndyAudi on Sunday 4th September 14:24

HTP99

23,306 posts

147 months

Sunday 4th September 2022
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Wasn't this changed a number of years ago where if you did pretty much permanent overtime it had to be taken into account in your holiday pay, similar with a commission based salary, in the past the holiday pay was just the basic, now commission from the same period in the previous year has to be paid too?

Driver101

14,376 posts

128 months

Sunday 4th September 2022
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Holiday pay should be paid at an average of your last 52 week's pay. I still hear companies disputing what is regular overtime in an attempt not to factor it into holiday pay.

Rob_125

1,601 posts

155 months

Sunday 4th September 2022
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We get a payment in lue of holiday. I think it works out at around 7% of hourly rate, for overtime worked. This was only implemented a couple years ago. And the oversight for previous years was bought out with a unionised flat deal for all employees. This massively benefited those who do not overtime over those who rack up hours at the time.

Obviously if you then want to take unpaid leave you can do so.

2 GKC

2,060 posts

112 months

Sunday 4th September 2022
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90-130 hours overtime per month? That’s nuts

Rtig

Original Poster:

192 posts

132 months

Sunday 4th September 2022
quotequote all
2 GKC said:
90-130 hours overtime per month? That’s nuts
Normally 3 weekends a month with 12 hour days and 12 hour days during the week when on site, if on nightshift it can be 12 hours overtime a day for the whole week!

Road2Ruin

5,490 posts

223 months

Sunday 4th September 2022
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Rtig said:
2 GKC said:
90-130 hours overtime per month? That’s nuts
Normally 3 weekends a month with 12 hour days and 12 hour days during the week when on site, if on nightshift it can be 12 hours overtime a day for the whole week!
12 hours of overtime a day? That would be a 20ish hour day. Assuming an eight our day normally. Taking in to account breaks that would mean a 21 hour shift in 24. Not sure that is sensible, legal or indeed correct.

Rtig

Original Poster:

192 posts

132 months

Sunday 4th September 2022
quotequote all
Road2Ruin said:
Rtig said:
2 GKC said:
90-130 hours overtime per month? That’s nuts
Normally 3 weekends a month with 12 hour days and 12 hour days during the week when on site, if on nightshift it can be 12 hours overtime a day for the whole week!
12 hours of overtime a day? That would be a 20ish hour day. Assuming an eight our day normally. Taking in to account breaks that would mean a 21 hour shift in 24. Not sure that is sensible, legal or indeed correct.
I wasn't clear on that, basic pay is based on Mon to Fri 07.30-16.30 and is paid regardless. ANY hours worked outside of this are overtime so a 12 hour nightshift on a weekday is paid as overtime and 07.30-16.30 is still paid as normal

MickC

1,041 posts

265 months

Monday 5th September 2022
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Rtig said:
I wasn't clear on that, basic pay is based on Mon to Fri 07.30-16.30 and is paid regardless. ANY hours worked outside of this are overtime so a 12 hour nightshift on a weekday is paid as overtime and 07.30-16.30 is still paid as normal
Do you still have to work the 7.30-16:30 before doing the 12 hour nightshift? If so, when do you get to sleep?

If not, that sounds like a good deal to me, even without extra holiday pay.

55palfers

6,006 posts

171 months

Monday 5th September 2022
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Reads like OP's company needs to employ more people.

Too many hours worked to be entirely effective.

Defcon5

6,304 posts

198 months

Monday 5th September 2022
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I don’t think k he is actually working these extra hours, it’s just they are paying him extra hours for deviated shifts etc

For example tomorrow I’m supposed to be on nights, but if they change me to lates at short notice they pay me 8 hours OT (in compensation for the change) but I don’t actually work any more than I would ordinarily do

MickC

1,041 posts

265 months

Monday 5th September 2022
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Defcon5 said:
I don’t think k he is actually working these extra hours, it’s just they are paying him extra hours for deviated shifts etc

For example tomorrow I’m supposed to be on nights, but if they change me to lates at short notice they pay me 8 hours OT (in compensation for the change) but I don’t actually work any more than I would ordinarily do
Well no but he does say the 12 hours are paid as overtime AS WELL as the 7.30-16:30 salary. So i assume he doesn't work the normal day but only the 12 hours night for which he gets paid an ADITIONAL 12 hours pay (at enhanced overtime rate? presumably not). if he only gets 4 hours overtime for a 12 hour shift as he's already been paid for 8 hours that he didn't do, then that's different.

Hopefully he'll be along soon to clarify.

Rtig

Original Poster:

192 posts

132 months

Monday 5th September 2022
quotequote all
MickC said:
Well no but he does say the 12 hours are paid as overtime AS WELL as the 7.30-16:30 salary. So i assume he doesn't work the normal day but only the 12 hours night for which he gets paid an ADITIONAL 12 hours pay (at enhanced overtime rate? presumably not). if he only gets 4 hours overtime for a 12 hour shift as he's already been paid for 8 hours that he didn't do, then that's different.

Hopefully he'll be along soon to clarify.
Monday to Friday normal hours are paid regardless of if they are worked or not so a 12 hour nightshift is paid as 12 hours at overtime rate on top of 0730-1630. Always jump at the chance for nightshifts!

From what I can see overtime should be included in holiday pay, which is a considerable chunk of money extra!

anonymous-user

61 months

Monday 5th September 2022
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If you do something at work consistently for more than twelve weeks then it forms part of your contract. Try ACAS, CAB or join a union.

austina35

365 posts

59 months

Tuesday 6th September 2022
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Never understood why people do overtime on a large scale. Why would you want to be at work any longer than you need to be? I wouldn't go down the pub with the majority of my work colleagues so why would I spend any more hours with them than I need to?

Answer for me is that if its extra money that is required either re-evaluate what you need to live on and adjust accordingly or simply find another job that pays more money.

Fast and Spurious

1,563 posts

95 months

Tuesday 6th September 2022
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austina35 said:
Never understood why people do overtime on a large scale. Why would you want to be at work any longer than you need to be? I wouldn't go down the pub with the majority of my work colleagues so why would I spend any more hours with them than I need to?

Answer for me is that if its extra money that is required either re-evaluate what you need to live on and adjust accordingly or simply find another job that pays more money.
Quoted for eternity, what a genius you are.

AndyAudi

3,265 posts

229 months

Tuesday 6th September 2022
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austina35 said:
Never understood why people do overtime on a large scale.
Answer for me is that if its extra money that is required either re-evaluate what you need to live on and adjust accordingly or simply find another job that pays more money.
You do realise finding jobs that have a significantly higher base pay often come with responsibilities/requirements that some folks are either not capable of undertaking or do not wish too. 10-15hrs overtime a week can bring an uplift of 50% to an individual on low pay which is a fairly easy way to pay for some of life’s luxuries like holidays etc.

TCX

1,976 posts

62 months

Tuesday 6th September 2022
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AndyAudi said:
austina35 said:
Never understood why people do overtime on a large scale.
Answer for me is that if its extra money that is required either re-evaluate what you need to live on and adjust accordingly or simply find another job that pays more money.
You do realise finding jobs that have a significantly higher base pay often come with responsibilities/requirements that some folks are either not capable of undertaking or do not wish too. 10-15hrs overtime a week can bring an uplift of 50% to an individual on low pay which is a fairly easy way to pay for some of life’s luxuries like holidays etc.
Most jobs have a fairly clear 'top rate',to make more either of ork more hours or move up to next role,not always so easy or available,plus there's also people who prefer being at work,sell holidays,etc

MickC

1,041 posts

265 months

Tuesday 6th September 2022
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Rtig said:
Monday to Friday normal hours are paid regardless of if they are worked or not so a 12 hour nightshift is paid as 12 hours at overtime rate on top of 0730-1630. Always jump at the chance for nightshifts!

From what I can see overtime should be included in holiday pay, which is a considerable chunk of money extra!
So you have done 4 hours extra, which as you say should presumably mean you are due 4 hours pro rata holiday (or holiday pay instead, maybe). You would not get 12 hours pro rata holiday pay though, just because they've paid you double (or more, depending on overtime rate) for the 12-hour long replacement nightshift.