If an employee becomes ill during a scheduled holiday, and they notify their employer, they have the right to convert those holiday days into sick leave. This allows them to save their holiday for future use. So, what does this mean for employers? Here are some important points:
- Time off during a holiday is paid as regular wages, whereas sick leave follows different rules. If the employer only provides Statutory Sick Pay (SSP), then SSP will be paid (assuming the employee qualifies). If the employer offers enhanced sick pay, that will apply instead, unless the company’s policies state otherwise.
- Ensure the absence is recorded as sickness in your attendance management system. While holidays aren't typically tracked for absences, monitoring sick leave is critical. A clear policy reduces the chances of employees attempting to reclassify holiday leave as sick leave without proper cause.
- Consider what proof of sickness you can reasonably ask the employee to provide. If they’re abroad, it might be harder to obtain a medical certificate, but your sickness policy can request that medical evidence be provided if possible. You might also consider covering the cost of obtaining a medical note abroad.
- If frequent sickness claims during holidays become a challenge, you might revise your sick pay policy to state that any sickness during pre-booked holidays will only be paid at Statutory Sick Pay. This can serve as a financial deterrent.
- If an employee falls sick during a holiday and doesn’t have enough time left in the current holiday year to use the recouped days, they must be allowed to carry over the unused holiday into the next holiday year. This applies to four weeks of leave each year (or the full 5.6 weeks for part-year and irregular-hours workers, effective for holiday years beginning after 1st April 2024). The carried-over leave must be used within 18 months of the year it was accrued.
For further advice on managing sickness and holiday policies, get in touch with our Employment Law team at 01635 896336 or email us at hello@fentonelliott.co.uk.