The August bank holiday is often seen as a chance to get away with family before the school term begins, but for those required to work, questions often arise about pay, time off, and the right to refuse. The Advisory, Conciliation and Arbitration Service (ACAS) has clarified the legal position on these matters.
Legal Entitlement to Paid Time Off
Most workers are legally entitled to 5.6 weeks of paid holiday annually, which equates to 28 days per year for someone working five days a week, according to ACAS. Employers can choose to include bank holidays within that 28-day minimum. Some contracts stipulate 28 days including bank holidays, meaning bank holidays are deducted from the allowance, while others state 28 days plus bank holidays, making them additional. This information is contained in the contract or holiday policy.
Who Can Take Time Off on a Bank Holiday?
ACAS has confirmed that bank holidays do not automatically grant time off. Whether an employee gets the day off, must work, or receives extra pay typically depends on the employment contract, the employer's holiday policy, and any collective agreement common in unionised workplaces. If a contract specifies that bank holidays must be worked, or if it is a particularly busy day in a sector such as hospitality, it is treated as an ordinary working day.
The law establishes a minimum amount of paid annual leave that every organisation must provide. For part-time workers, leave is generally pro-rated. A common issue arises when a workplace shuts on bank holidays and a part-time employee who does not ordinarily work Mondays appears to lose out. Employers usually resolve this by granting leave in hours rather than days, so everyone receives an equivalent allocation, or by applying a pro-rata bank holiday entitlement. For zero-hours contract workers, leave accumulates based on hours worked, or holiday pay may be incorporated into remuneration. There is no single prescribed method, but the result should be equitable and consistent.
Enhanced Pay and Time Off in Lieu
ACAS explained that there is no automatic legal entitlement to 'time-and-a-half' or any other premium rate for working a bank holiday. Additional pay only applies if it is specified in the contract, outlined in a workplace policy, or forms part of a collective agreement. Many employers do provide enhanced rates, so reviewing the wording in the contract or relevant policies is advised. Time off in lieu solely because a day falls on a bank holiday is not an automatic legal right either; this also comes down to what the contract stipulates.
Workers are entitled to their minimum annual leave, so if a bank holiday is worked that would otherwise have been off, employers typically handle this by granting an alternative day off in lieu, or treating the bank holiday as an ordinary working day and allowing leave at a later date, subject to company policy. If holiday entitlement is listed as 'including bank holidays,' working a bank holiday may mean another day off can be taken, though this depends on how the employer manages leave.
Can You Refuse to Work a Bank Holiday?
If a contract states that bank holidays are standard working days and are required when rostered, refusing could be regarded as a conduct matter. However, a legitimate reason for being unable to work could alter the situation. For example, if the request is linked to religion or belief, employers ought to consider it reasonably and steer clear of discrimination. This does not necessarily mean an automatic right to refuse, but employers should tread carefully. If working that day creates a disadvantage related to a disability, the employer may be required to consider reasonable adjustments. Additionally, if an employee has worked in excess of 48 hours that week, they will be entitled to time off, unless they have opted out.
According to guidance from ACAS, it is advisable to review the contract and workplace policy to clarify exactly what an employee is entitled to.
