Statutory Holiday and Pay in Lieu

During the phasing in of the statutory holiday entitlement increases, the Government provided for a transitional period in which employers could give payment in lieu of untaken additional leave (statutory leave that was provided over and above the original 4 week statutory minimum) at the end of the leave year.

The transitional period ends on 1st April 2009, resulting in the removal of the pay in lieu provision, so that employers can no longer buy out any statutory leave where employment is continuing.