Workers take time off work for different reasons. This can include annual holiday, unexpected absence such as sickness or emergencies, and planned longer-term leave such as family-related absence.
For employers, managing holiday and leave is not just an administrative task. It requires applying the correct legal rules, ensuring pay is calculated accurately, supporting employees appropriately and maintaining operational continuity. Where absence is unexpected or prolonged, employers should also focus on keeping in touch and supporting a safe, structured return to work.
This gateway explains the main types of holiday and leave employers encounter and the key compliance considerations attached to each.
Section A: Holiday
All workers are legally entitled to paid annual leave. Employers must ensure that holiday entitlement is provided in line with statutory requirements and any contractual enhancements, and that holiday requests are handled fairly and consistently across the workforce.
Holiday pay is a frequent risk area. Employers must ensure that pay during holiday reflects a worker’s normal earnings where required, particularly for staff with overtime, variable hours or irregular working patterns. Errors in holiday pay calculations can lead to backdated claims, grievances and employment tribunal exposure.
Clear holiday policies, accurate records and well-trained managers are essential to avoid disputes over entitlement, pay or refusal of leave requests.
You can read our extensive guide to Holiday Entitlement here >>
Section B: Time off for sickness
Sickness absence is one of the most common causes of unplanned time off. Employers should have clear procedures covering reporting requirements, certification, sick pay and keeping in touch during absence.
Statutory Sick Pay applies where eligibility conditions are met, but many employers also operate contractual sick pay schemes. Fit notes can include recommendations about workplace adjustments or phased returns, which employers should consider carefully. While fit note recommendations are not legally binding, they are an important tool for identifying practical steps that may support an earlier or safer return to work.
Repeated short-term sickness and long-term absence both require careful handling. Employers must balance attendance management with obligations around health, disability and fairness, particularly where sickness may be linked to an underlying medical condition.
Section C: Time off for care and support
Employees may need time off to deal with emergencies involving dependants, provide care for others or cope with bereavement. Some of these absences are covered by specific statutory rights, while others are managed through workplace policies and employer discretion.
The key risk for employers in this area is inconsistency. Decisions about time off for caring responsibilities or bereavement should be handled sensitively but also applied consistently to avoid discrimination claims or employee relations issues.
Having clear policies helps managers respond appropriately while ensuring the business meets its legal obligations.
Section D: Managing absence and returning to work
When absence becomes frequent, prolonged or disruptive, employers should move from reactive management to a structured absence management approach. This typically involves clear trigger points, return-to-work discussions and documented decision-making.
Staying in contact with employees during long-term absence is important, both to provide support and to plan for a return. Return-to-work interviews and phased returns can help employees reintegrate safely while reducing the risk of relapse or further absence.
Where absence relates to disability or long-term health conditions, employers must consider reasonable adjustments and avoid penalising disability-related absence unfairly.
Planned longer-term leave
Some types of absence are planned in advance, most commonly family-related leave such as maternity, paternity or shared parental leave. These absences require advance planning to manage resourcing, pay, continuity of employment and operational impact.
Employers must apply statutory rights correctly and ensure that employees are not treated unfavourably because they take family-related leave. This includes protecting terms and conditions where required and supporting the employee’s return to work.
Early planning for handovers and return-to-work arrangements can reduce disruption, support retention and minimise the risk of disputes when the employee returns.
Conclusion
Holiday and leave are unavoidable features of working life, but they are also a frequent source of legal and operational risk for employers. Issues most commonly arise where policies are unclear, managers apply rules inconsistently or pay calculations are handled incorrectly.
A structured approach to holiday entitlement, sickness absence, caring-related leave and return-to-work processes helps employers remain compliant while supporting employees appropriately. Clear policies, accurate records and early intervention when absence becomes problematic are central to reducing disputes and maintaining workforce stability.
This gateway is designed to help employers understand the holiday and leave landscape before moving into more detailed guidance on specific scenarios.
FAQs
Do all workers have a legal right to paid holiday?
Yes. Most workers are entitled to statutory paid annual leave. Employers may offer more generous contractual leave, but they cannot provide less than the legal minimum.
Can employers refuse holiday requests?
Employers can refuse or restrict holiday requests in certain circumstances, but refusals must be handled lawfully, fairly and consistently, and in line with notice requirements.
When does Statutory Sick Pay apply?
Statutory Sick Pay applies where eligibility and qualifying conditions are met. Some employees may not qualify, and some employers also operate contractual sick pay schemes with different rules.
What evidence can an employer ask for when someone is off sick?
Short periods of sickness can usually be self-certified. Fit notes are required for longer absences. Employers should ensure any requests for medical evidence are reasonable and proportionate.
Is time off for dependants paid?
Emergency time off for dependants is usually unpaid unless the employer’s policy provides otherwise. The statutory right is primarily a right to time off, not a right to pay.
How should employers manage long-term or frequent absence?
Employers should use a structured absence management process, including keeping in touch, return-to-work discussions and consideration of reasonable adjustments where relevant.
Glossary
| Term | Meaning |
|---|---|
| Annual leave | Paid time off work that workers are legally entitled to take each year under statutory and contractual rules |
| Holiday pay | Pay received by a worker during annual leave, which may need to reflect normal earnings depending on working patterns |
| Statutory Sick Pay (SSP) | The minimum level of sick pay employers must pay to eligible employees who meet qualifying conditions |
| Fit note | A medical statement issued by a healthcare professional setting out advice on fitness for work |
| Time off for dependants | A statutory right to unpaid time off to deal with emergencies involving dependants |
| Long-term sickness absence | Sickness absence lasting an extended period, often requiring additional employer support and review |
| Return-to-work interview | A meeting held after absence to discuss wellbeing, absence reasons and reintegration |
| Phased return | A gradual return to work following sickness or leave, often involving reduced hours or duties |
Useful Links
| Resource | Link |
|---|---|
| Employment law overview | https://www.davidsonmorris.com/employment-law/ |
| Holiday entitlement and holiday pay | https://www.davidsonmorris.com/holiday-entitlement/ |
| Sickness absence management | https://www.davidsonmorris.com/sickness-absence/ |
| Statutory Sick Pay guidance | https://www.davidsonmorris.com/statutory-sick-pay/ |
| Time off for dependants | https://www.davidsonmorris.com/time-off-for-dependants/ |
| Absence management for employers | https://www.davidsonmorris.com/absence-management/ |
