Coronavirus Employment Law
14th May 2020
Last updated: 16th October 2025 at 15:30pm
< 1 min read

Latest Furlough and Holiday Pay Guidance

Latest Furlough and Holiday Pay Guidance

The Government has clarified issues relating to furlough and holiday pay in guidance published yesterday (13 May) by the Department for Business Energy and Industrial Strategy.

While it was confirmed last month that furloughed workers could take annual leave without breaking furlough, many questions remained regarding whether an employer could require staff to take holiday, and the status of temporary and agency staff was also still unclear.

“Valuable sexual harassment training”

“I found the knowledge of what is and is not appropriate and the difference between what is banter and what is offensive valuable. From this I will take on board appropriate behaviours between colleagues, my rights as an employee, the policies which are in place. ”

What is great about the new guidance is that it addresses the employers legal obligations, in terms of workers who:

One of the big benefits of this new guidance is that it clarified that employers can claim through the job retention scheme for furloughed workers even while they were taking holiday. But they are required to make the difference up if the employee is entitled to higher holiday pay than their furlough pay, it said.

This clarification is really helpful for employers and would allow them to ensure furloughed workers did not return to work with excessive amounts of annual leave.

As always it should be noted that the guidance does not constitute legal advice. Employers and workers should always check individual contracts and if necessary seek independent legal advice.

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If you have any immediate or urgent issues get in touch with us to discuss your options in these tough and uncertain times. 

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