Can an employer refuse holiday requests?

Under Working Time Regulations 1998, all workers are entitled to at least 5.6 weeks of paid holiday per year. However, workers do not have complete freedom to take holiday when they choose to. Employers need to be able to plan and make sure that sufficient cover is in place when a worker takes annual leave. Some businesses have particularly busy ‘pinch points’ in the year (Christmas and Easter for hospitality; Black Friday and Christmas sales for retail). Employers need to know the ways in which they are able to manage how and when workers take their holiday.

What are employers’ legal rights when refusing holiday requests?

Under Working Time Regulations 1998, workers must give notice of at least twice the length of the holiday they wish to take. So, for a one-week holiday, the worker must give at least two weeks’ notice. If they don’t do this, then you are entitled to refuse the holiday request.

If the employer wants to dictate that holiday is taken at a certain time, then they can. In the same way as employees, they must give notice of at least twice the length of the holiday period which is being mandated.

Employers don’t have to agree to holiday requests. They can refuse them by giving notice which is at least as long as the length of the holiday requested.

Equally, employers are able to change their mind. They can approve a request for holiday and then, at a later date, withdraw that approval as reasonably necessary. However, this is not a good idea from an employee relations point of view and should be handled with caution. In addition, the notice requirements still apply so notice which is at least the same period as the length of the holiday (so one week for one week etc.) must be provided.

How a written holiday policy gives employers control over annual leave

The Working Time Regulations 1998 has some ‘flex’ built in on the issue of holiday. Subject to the notice requirements, Employers can stipulate certain days as holiday, refuse requests, or change their mind about a request. However, it is much better for holiday rules to be clearly explained in the contract of employment and/or a separate holiday policy. This allows the business to be clear about periods of shutdown where a certain number of days of holiday must be taken or periods where holiday is not able to be taken and this can greatly help manage the expectations of the workforce. 

Having a holiday policy allows everyone to understand exactly what they need to do to get the best from their holiday entitlement each year. Employers maintain control over the situation, making sure that the business continues to operate optimally when employees are away from work. This can be supported by an on-line HR system to help manage how many employees are off at the same time (which can help to avoid an unexpected shut down if everyone wants to have the same week off…). This is also especially important to help manage holidays that may be connected to religious or sporting events. 

If you need help reviewing your holiday policy or dealing with any holiday issues raised by your employees, please contact our team.