Term Time Working UK: Employer Guide 2026

Term time working is a form of flexible working where an employee works during school or academic terms and does not work during school holidays. Although most commonly associated with education and local authority roles, term time working is increasingly being adopted across private sector organisations where operational demand aligns with school calendars or where employers wish to widen access to talent.

From a legal perspective, term time working is not a standalone employment status. It is a contractual working arrangement that engages statutory flexible working rights, Working Time Regulations, National Minimum Wage compliance, discrimination law and holiday entitlement rules. Since April 2024, the statutory framework governing flexible working has changed significantly, meaning employers must now approach term time working requests differently from previous years. Any term time pattern that is agreed should be clearly documented in the employment contract to avoid disputes about pay, leave and working time.

What this article is about:

This guide provides a comprehensive, compliance-focused analysis of term time working for UK employers in 2026. It explains what term time working means in law, how to handle statutory requests, how to calculate pro rata salary correctly, how to determine holiday entitlement following Brazel v Harpur Trust and the post-2024 reforms, and the legal risks associated with refusing or withdrawing a term time arrangement. It also examines discrimination exposure, contractual drafting requirements and operational planning considerations.

Section A: What Is Term Time Working?

Term time working is a contractual arrangement under which an employee works only during defined academic or school terms and does not work during school holiday periods. It is sometimes described as “term time only work”, “term time work” or “working term time”. Regardless of terminology, the legal position is the same: it is a variation of normal working hours agreed between employer and employee.

There is no statutory definition of term time working in UK employment legislation. Instead, it operates within the framework of contract law and statutory employment rights, including the statutory right to request flexible working and the Working Time Regulations 1998.

The defining feature is that the employee’s working year is shorter than 52 weeks, but the employment itself is ongoing. The contract does not terminate during school holidays. The individual remains employed throughout the year, even though they do not perform work during certain periods. Importantly, the employee’s continuous service continues to accrue throughout the whole year, including during school holidays, which can affect rights such as redundancy pay, notice and unfair dismissal qualifying service.

1. Common structures of term time working

Term time working can take several forms, depending on operational need:

• Full-time hours during school terms only
• Part-time hours during school terms only
• Working all terms but excluding the summer holiday
• Working term time but excluding specified half-term breaks
• Working a fixed number of weeks aligned to an academic calendar

In each case, the contract should specify clearly:

• The number of working weeks per year
• Whether half-terms are included
• The mechanism for identifying annual term dates, for example by reference to a local authority or school calendar and employee notification obligations
• Whether changes to academic calendars will automatically apply
• How pay and annual leave will operate during non-working weeks

Failure to define these matters creates ambiguity around pay, leave and whether the employee is expected to attend training days or occasional meetings during school holidays.

2. Sectors where term time working is common

Term time working is most prevalent in:

• Schools and academies
• Further and higher education institutions
• Local authorities
• NHS roles linked to school health services or education-aligned provision
• Hospitality and leisure businesses serving students

However, it is increasingly used in professional services, administrative roles and hybrid workplaces where employers wish to retain experienced staff with school-age children. It should not be assumed that term time working is confined to the public sector. The same legal principles apply in private businesses.

3. Term time working vs part-year work

It is important to distinguish term time working from other forms of part-year work.

A term time worker will typically:

• Have an ongoing employment contract
• Remain employed throughout the year
• Accrue continuous service during school holidays

This is different from:

• Seasonal workers engaged on fixed-term contracts
• Casual workers with gaps between engagements
• Zero-hours workers without guaranteed work

The distinction matters for continuous service calculations and statutory rights, including redundancy pay, notice entitlement and unfair dismissal. Employers should ensure that term time arrangements are not mistakenly treated as temporary contracts unless that is genuinely the intention and reflected in contractual documentation.

4. Term time working and flexible working law

Although term time working is a contractual arrangement, in practice it often arises through a statutory flexible working request. Employers should align their approach with current flexible working legislation and have a clear flexible working policy setting out the process.

A statutory request should be made in writing and should set out the change sought and the date the employee proposes it should take effect. In practice, employers should also ask employees to state clearly that the request is being made as a statutory flexible working request, so it can be handled within the statutory framework.

However, term time working can also be offered proactively by the employer as a recruitment or retention tool. In such cases, it should still be documented formally and treated as a contractual working pattern.

Section A Summary

Term time working is not a separate legal employment category but a contractual working arrangement that reduces working weeks in alignment with academic terms. The employment relationship continues throughout the year, including during non-working holiday periods, and continuous service accrues as normal. Employers should define the arrangement precisely in the employment contract, including working weeks, term dates, holiday and pay structure, to avoid disputes and compliance risk.

Section B: The Legal Framework – Flexible Working Rights and Employer Obligations in 2026

Term time working arrangements frequently arise from statutory flexible working requests. Employers must therefore understand the current legal framework governing how such requests must be handled.

The law in this area changed significantly in April 2024 following the Employment Relations (Flexible Working) Act 2023. Any guidance relying on a 26-week qualifying period or a three-month decision window is now out of date. In 2026, employers must comply with the revised statutory regime.

1. Day-one right to request flexible working

All employees now have the right to request flexible working from the first day of employment. There is no minimum service requirement.

A request to work term time only is treated as a statutory flexible working request where it seeks a permanent change to working pattern. Employees may make two statutory requests in any 12-month period.

To qualify as a statutory request, the application should:

• Be made in writing
• Specify the change sought
• State the proposed start date
• Confirm that it is a statutory flexible working request

The right is to request, not to obtain. However, the employer’s obligations are legally enforceable.

2. Employer duty to consult and respond

When an employee submits a statutory flexible working request, the employer must:

• Deal with the request in a reasonable manner
• Consult with the employee before refusing
• Provide a decision within two months (unless extended by agreement)

Consultation must be genuine and should explore the operational impact of term time working, possible compromises and alternative working patterns.

Although not legally mandatory in every case, a meeting will usually be appropriate. Employers should document the discussion and decision carefully.

Failure to follow the statutory process may lead to a tribunal claim. Compensation for procedural breaches is capped at eight weeks’ pay, subject to the statutory cap on a week’s pay. However, procedural failures often form the foundation for wider discrimination claims.

3. Lawful grounds for refusal

An employer may refuse a term time working request only for one or more of the eight statutory grounds under section 80G of the Employment Rights Act 1996. Guidance on reasons to reject a flexible working request can assist employers in assessing risk.

The prescribed grounds are:

• Burden of additional costs
• Detrimental effect on ability to meet customer demand
• Inability to reorganise work among existing staff
• Inability to recruit additional staff
• Detrimental impact on quality
• Detrimental impact on performance
• Insufficiency of work during the periods the employee proposes to work
• Planned structural changes

The employer must identify which ground applies and explain why. Generalised statements will not be sufficient. Tribunals expect evidence and reasoning.

Cost alone is rarely enough to justify refusal unless supported by evidence and linked to a legitimate business aim.

4. Appeals and procedural fairness

The legislation does not expressly require an appeal process. However, offering an appeal demonstrates procedural fairness and reduces litigation risk.

Allowing an appeal:

• Provides an opportunity to correct errors
• Demonstrates reasonableness
• Reduces the likelihood of tribunal claims escalating

Employers should handle any appeal promptly and within the overall two-month timeframe, unless extended by agreement.

5. Permanent nature of the change

A critical legal point is that, unless expressly agreed otherwise, approval of a statutory flexible working request results in a permanent contractual variation.

If an employer agrees to term time working:

• It becomes part of the employee’s employment contract
• It cannot later be withdrawn unilaterally

If business needs change, the employer may need to follow a formal process for changing employment contract terms. This may involve consultation, agreement or, in some cases, dismissal and re-engagement. Such steps carry potential unfair dismissal risk for employees with two years’ service.

Treating term time working as an informal arrangement without contractual clarity creates significant legal exposure.

Section B Summary

In 2026, term time working requests must be handled under the revised flexible working regime. Employees have a day-one right to request, employers must consult before refusing and decisions must be made within two months. Refusal is lawful only on prescribed statutory grounds. Where agreed, term time working becomes a contractual entitlement, and withdrawing it later may expose the employer to breach of contract and unfair dismissal claims.

Section C: Term Time Working Pay, Pro Rata Salary and National Minimum Wage Compliance

Term time working reduces the number of weeks worked in a year, but it does not suspend the employment relationship during school holidays. The employee remains continuously employed and accrues continuous service throughout the year. This distinction is critical when calculating salary, statutory rights and holiday entitlement.

Employers frequently ask how to calculate pro rata salary correctly, whether pay can be averaged across the year and how to ensure compliance with National Minimum Wage legislation. Errors in this area commonly lead to unlawful deduction from wages claims and compliance investigations.

1. Calculating pro rata salary for term time only work

The standard approach to calculating salary for term time only work is to determine the proportion of the year worked and apply that fraction to the full-time equivalent salary.

Step 1: Identify the full-time annual salary based on 52 weeks.

Example: £30,000 per annum.

Step 2: Determine the number of working weeks.

If the employee works 39 weeks per year:

39 ÷ 52 = 0.75

Step 3: Apply the fraction to the salary.

£30,000 × 0.75 = £22,500 annual salary.

This produces the pro rata annual salary figure.

Employers should document clearly:

• The number of working weeks
• Whether training days are included
• Whether half-term weeks are included or excluded
• How term dates will be identified each year

Failure to define these points may result in disputes about underpayment or entitlement to attend additional days.

2. Salary payment structures

There are two common approaches to paying term time workers.

Equal monthly instalments
The pro rata annual salary is divided into 12 equal payments. The employee receives pay during school holidays even though no work is performed during those periods. This is the most common model because it provides income stability.

Pay only during working months
The employee is paid only during term-time months. This creates irregular income and is less common in practice.

Whichever structure is adopted must be clearly stated in the employment contract. Ambiguity may lead to claims for unlawful deduction from wages.

3. National Minimum Wage compliance

Employers must ensure compliance with the National Minimum Wage regime at all times.

Minimum wage compliance is assessed by reference to statutory pay reference periods under the National Minimum Wage Regulations 2015. Where salary is averaged over 12 months, employers must ensure that the effective hourly rate during working periods does not fall below the applicable minimum wage rate.

Particular care is required where:

• Employees work longer hours during term-time
• Pay is smoothed across the year
• Additional unpaid duties are expected

Term time working does not disapply minimum wage rules. Employers should periodically audit pay calculations to ensure compliance with current statutory rates.

4. Pension and auto-enrolment considerations

Where salary is reduced to reflect term-time working, employer and employee pension contributions will usually reduce proportionately.

Auto-enrolment thresholds and qualifying earnings rules continue to apply. Payroll systems must be configured correctly to avoid underpayment of pension contributions.

5. Overtime and additional hours

Employers should define clearly:

• Whether overtime is permitted during term-time
• Whether additional hours during school holidays are permitted
• The rate payable for additional hours

If overtime is regularly worked, this may need to be reflected in holiday pay calculations, as statutory holiday pay must reflect normal remuneration in many circumstances.

If employees perform ad hoc work during school holidays, this may affect how the arrangement is characterised and how holiday accrual is calculated.

6. Use of term time working calculators

Many employers rely on spreadsheet tools or “term time working calculators” to determine salary and leave. While these tools can assist budgeting, they do not replace legal analysis.

Employers must ensure that calculations:

• Reflect the correct number of working weeks
• Align with statutory holiday entitlement
• Comply with minimum wage legislation

Incorrect assumptions about pro rata calculations are a frequent source of employment tribunal claims.

Section C Summary

Term time working reduces annual salary proportionately to the number of weeks worked, but employment continues throughout the year. Employers must calculate pro rata salary accurately, document payment structures clearly and ensure compliance with National Minimum Wage, pension and overtime rules. Informal calculation methods without contractual clarity create avoidable legal risk.

Section D: Term Time Working and Holiday Entitlement – Brazel, 2024 Reforms and Annual Leave Compliance

Holiday entitlement is the most legally complex aspect of term time working. Misunderstanding the interaction between statutory leave, part-year work and salary calculations has led to significant litigation. Employers must approach this area with precision and ensure compliance with the Working Time Regulations 1998.

Term time workers are usually permanent employees who work part of the year but remain employed throughout. Their statutory holiday entitlement is governed by the Working Time Regulations, as interpreted by the Supreme Court and amended by post-2024 reforms.

1. The Brazel v Harpur Trust decision

In Brazel v Harpur Trust [2022] UKSC 21, the Supreme Court considered the holiday entitlement of a permanent music teacher who worked only during school terms.

The Court confirmed:

• A worker on a permanent contract is entitled to 5.6 weeks’ statutory leave.
• Employers must not calculate leave by applying a flat 12.07% of hours worked where the worker has normal working hours.
• Holiday entitlement cannot be reduced simply because the employee works fewer weeks in the year.

This decision invalidated the widespread practice of using the 12.07% method for many permanent part-year workers.

For employers operating term time working arrangements, this case remains central. Applying an incorrect calculation method may result in back-pay liability and unlawful deduction from wages claims.

2. Post-April 2024 reforms

For leave years beginning on or after 1 April 2024, legislative reforms allow a 12.07% accrual method for defined categories of:

• Irregular hours workers
• Certain part-year workers as defined by the amended Regulations

However, these categories are specific. Many permanent term time workers with fixed weekly hours during term do not fall within the irregular hours category.

Employers must therefore:

• Identify whether the employee meets the statutory definition of irregular hours or qualifying part-year worker
• Avoid automatically applying the 12.07% method to permanent term time employees with regular hours

It is also important to distinguish between part-time work and part-year work. A part-time worker’s 5.6 weeks’ leave is pro-rated according to their weekly working pattern. However, Brazel confirms that permanent part-year status alone does not justify reducing the statutory 5.6-week entitlement.

3. Practical holiday calculation for term time workers

In practice, a permanent term time worker with regular hours is usually entitled to 5.6 weeks’ statutory leave.

Because term time workers already do not work during school holidays, statutory leave is typically taken during those non-working periods.

The structure commonly operates as follows:

• The employee receives paid holiday representing 5.6 weeks.
• The remaining non-working weeks are unpaid.
• Salary is averaged across 12 months to smooth income.

Holiday pay must reflect normal remuneration. Where employees regularly work overtime or receive allowances linked to normal duties, these may need to be included in holiday pay calculations.

Employers should avoid using rolled-up holiday pay arrangements, which remain unlawful.

4. Public holidays

Public holidays do not create additional statutory entitlement beyond 5.6 weeks unless the employment contract provides otherwise.

The 5.6-week entitlement may include public holidays. Employers should specify clearly in the contract:

• Whether public holidays are included within the 5.6 weeks
• How public holidays falling during school holidays are treated

Ambiguity frequently leads to disputes.

5. Risk of underpayment claims

Incorrect holiday calculation may lead to:

• Unlawful deduction from wages claims
• Claims for back pay
• Group litigation risk in education and local authority settings

Because holiday pay cases often involve systemic payroll practices, errors can be expensive and reputationally damaging.

Section D Summary

Holiday entitlement for term time workers must be calculated carefully in light of Brazel and the 2024 reforms. Permanent term time workers with regular hours remain entitled to 5.6 weeks’ statutory leave, and the 12.07% method cannot be applied automatically. Employers must distinguish between part-time and part-year status, ensure holiday pay reflects normal remuneration and draft contracts clearly to avoid systemic underpayment risk.

Section E: Discrimination Risks, Withdrawal of Arrangements and Employment Tribunal Exposure

Term time working arrangements sit at the intersection of flexible working law and equality legislation. While employers are not obliged to approve every request, mishandling decisions in this area creates significant litigation risk.

Claims arising from refusal or withdrawal of term time working arrangements are rarely limited to procedural breaches. They frequently develop into discrimination, unlawful deduction from wages and unfair dismissal claims, where compensation can be substantial.

1. Indirect sex discrimination

The most common legal risk arises under the Equality Act 2010.

A requirement to work a full-year schedule may amount to a provision, criterion or practice (PCP). If that PCP places women at a particular disadvantage compared to men, refusal of a term time working request may give rise to a claim of indirect discrimination, specifically indirect sex discrimination.

Tribunals recognise that women statistically carry a greater share of childcare responsibilities. Employers must therefore:

• Identify the legitimate aim relied upon
• Provide evidence supporting that aim
• Demonstrate that refusal is a proportionate means of achieving it
• Show that less discriminatory alternatives were genuinely considered

Cost alone is rarely sufficient to justify refusal unless supported by clear evidence and linked to a legitimate operational need. Compensation for discrimination is uncapped and includes injury to feelings.

A blanket ban on term time working is particularly high risk.

2. Disability and associative discrimination

Risk is not confined to sex discrimination.

If an employee seeks term time working to care for a disabled child, refusal may give rise to claims of disability discrimination or discrimination by association, following the principles established in Coleman v Attridge Law.

Although the employee may not themselves be disabled, less favourable treatment linked to their association with a disabled person may be unlawful. Employers should exercise particular caution where childcare responsibilities relate to disability.

3. Age discrimination

Grandparents increasingly request term time arrangements to provide childcare support.

A refusal which disproportionately affects older workers may give rise to indirect age discrimination arguments. While such claims are less common, employers should avoid assuming that term time working is solely a parental issue.

4. Withdrawing an agreed term time arrangement

Where term time working has been approved and incorporated into the employment contract, it becomes a contractual term.

An employer cannot unilaterally remove the arrangement unless:

• The contract contains a sufficiently clear and enforceable flexibility clause
• The clause is exercised reasonably and in good faith

In most cases, altering the arrangement will require a formal process for changing employment contract terms. If agreement cannot be reached, dismissal and re-engagement may be considered, but this carries potential unfair dismissal and discrimination exposure.

Tribunals will examine whether the employer genuinely required the change and whether less intrusive options were explored.

5. Constructive dismissal and wage claims

If an employer attempts to remove a term time working arrangement without consent, the employee may:

• Assert breach of contract
• Resign and claim constructive dismissal
• Bring a claim for unlawful deduction from wages

Even where the employee remains in employment, unilateral change may expose the organisation to litigation.

6. Procedural claims under flexible working law

Employees may also bring standalone claims where the employer:

• Fails to consult before refusing
• Fails to respond within two months
• Refuses for reasons not falling within the statutory grounds

While compensation for procedural breaches is capped at eight weeks’ pay, these claims often accompany more serious discrimination or dismissal claims.

7. Record-keeping and evidence

Employers should maintain clear documentation of:

• The request received
• The consultation undertaken
• Operational impact analysis
• The reasons for refusal or modification

Tribunals assess reasonableness based on evidence. Unsupported assumptions will rarely withstand scrutiny.

Section E Summary

Term time working requests create significant equality and dismissal risks if mishandled. Indirect sex discrimination remains the primary exposure, but disability, associative and age discrimination claims are also possible. Once agreed, a term time arrangement becomes contractual and cannot be withdrawn unilaterally without legal consequence. Employers must combine procedural compliance with careful equality impact assessment and clear documentation.

Term Time Working FAQs

What is term time working?

Term time working is a contractual arrangement where an employee works only during school or academic terms and does not work during school holidays. The employment relationship continues throughout the year, including during non-working periods, and continuous service accrues as normal.

Is term time working a legal entitlement?

No. There is no automatic right to term time working. However, employees have a day-one statutory right to request flexible working. Employers must consider such requests reasonably, consult before refusing and may refuse only on prescribed statutory grounds.

How should employers handle a request to work term time only?

Employers should:

• Ensure the request is handled under the statutory flexible working framework
• Consult with the employee before making a decision
• Provide a written decision within two months (unless extended by agreement)
• Rely only on one or more of the statutory grounds if refusing

If approved, the change will usually amount to a permanent variation of the employment contract unless expressly agreed to be temporary.

How do you calculate pro rata salary for term time only work?

To calculate pro rata salary:

• Identify the full-time annual salary
• Divide the number of working weeks by 52
• Multiply the salary by that fraction

Employers must ensure compliance with National Minimum Wage rules and clearly document how salary is paid, particularly if payments are averaged across 12 months.

How is holiday entitlement calculated for term time workers?

Permanent term time workers are generally entitled to 5.6 weeks’ statutory leave under the Working Time Regulations 1998. Following Brazel v Harpur Trust, employers must not automatically apply a 12.07% method to permanent workers with regular hours.

The 5.6 weeks may include public holidays unless the contract provides additional entitlement.

Can term time working be withdrawn?

If term time working forms part of the employee’s contract, it cannot be withdrawn unilaterally. Any change requires consultation and agreement or a formal variation process. Removing a contractual term may expose the employer to breach of contract, unlawful deduction from wages or unfair dismissal claims.

Does term time working affect pension or tax?

There are no special tax rules for term time working. However, pension contributions under auto-enrolment will usually reduce proportionately to salary. Payroll systems must calculate contributions correctly to avoid underpayment.

Conclusion

Term time working is a structured contractual arrangement, not an informal alignment with school holidays. In 2026, employers must approach term time working through the lens of flexible working law, equality legislation, the Working Time Regulations and wage compliance.

Handled correctly, term time working can:

• Improve retention
• Expand access to experienced talent
• Align workforce planning with operational demand

Handled poorly, it creates exposure to:

• Indirect discrimination claims
• Unfair dismissal risk
• Unlawful deduction from wages claims
• Holiday pay litigation

Employers should ensure that term time working arrangements are clearly documented in the employment contract, calculated accurately and implemented lawfully. Precision in drafting and process is critical to avoid systemic compliance failures.

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