Prince William and Kate Middleton’s wedding is to be marked by an extra public holiday on 29 April 2011. With Easter Monday on the 25 April it will be a three day week for some people.

One of the main questions is whether employees have to be given the day off.  In England and Wales there is no automatic right for an employee to have the day off on a bank holiday, whether they can or not will depend on their contract of employment.  In the same way, if employees do work on a bank holiday their pay for the day will depend on their contract as there is no statutory right to overtime or time off in lieu.  Many employers will be happy to give staff the day off with pay regardless of their contracts, but in these times of austerity that will not be an option affordable to all.  In addition, some employers will have business reasons for needing staff to work on that day.

The statutory minimum holiday entitlement under the Working Time Regulations 1998 has increased over the past few years and currently stands at 5.6 weeks a year. This equates to 20 days plus the usual eight annual bank holidays for many full-time employees, and employers should have adopted wording to reflect this in their written contracts of employment.

What should employers do?

The position may depend on the exact wording of a contract. If, for example, it says that the holiday entitlement is “20 days plus bank holidays” then the employer is likely to have to give the employee a day’s paid leave on 29 April. If, however, it says “28 days including bank holidays” then there will be no extra entitlement. The wording will vary from company to company. Part-timers holiday calculations may prove more complex.

Should employees be paid?

Employers will also be keen to know where they stand in relation to paying staff who do work on the extra bank holiday. As with any bank holiday, an employee’s pay for the day will depend on the wording of their contract, as there is no statutory right to additional pay or time off in lieu. Many companies do, however, have agreed rates for working on bank holidays, such as double time, and these should be applied as normal.

The best advice for employers is to be prepared and check your contracts of employment. Our thanks to our strategic partner Blue Star Human Resources for their technical contribution.