Managing Holiday Pay & Sick Leave: UK Employment Rules
Even part-time teachers get 28 days paid holiday. Here's how to calculate it correctly and stay compliant.
Statutory Holiday Entitlement
All workers (including part-time and zero-hours) are entitled to 5.6 weeks paid holiday per year. For full-timers (5 days/week), that's 28 days.
Part-timers get pro-rata. If a teacher works 2 days per week: 2 × 5.6 = 11.2 days holiday.
Calculating Pay
Holiday pay should be the average of the last 52 weeks' earnings (ignoring weeks not worked). This includes:
- Class fees
- Private clients they taught at your studio
- Workshops
Not included: expenses, travel time, preparation done at home.
Rolled-Up Holiday Pay is Illegal
You cannot pay extra per class 'in lieu of holiday.' This is called 'rolled-up holiday pay' and an employment tribunal will order you to pay the holiday again.
Correct process:
- Track hours worked
- When they take holiday, pay them based on average weekly earnings
- Mark it clearly on payslip as 'holiday pay'
Zero-Hours Contracts
If you use zero-hours contracts (common for cover teachers), holiday accrues at 12.07% of hours worked.
Example: A cover teacher works 20 hours in June. Holiday accrued: 20 × 0.1207 = 2.41 hours. When they take time off, pay them for 2.41 hours at their usual rate.
Statutory Sick Pay (SSP)
Employees qualify for SSP (£109.40/week in 2024) if they:
- Are off sick for 4 or more days in a row (including non-working days)
- Earn at least £123/week (before tax)
- Have told you they're sick within 7 days
You pay SSP from day 4 to day 28 of sickness. You cannot claim it back from the government (unless you're a small employer with high sick pay costs).
Self-Employed Teachers
Genuinely self-employed teachers (invoice you, work elsewhere) are not entitled to holiday pay or sick pay from you. They should factor these costs into their day rate.
However, if you control when/where they work, provide all equipment, and they're integrated into your team, HMRC might classify them as 'workers'—giving them holiday rights. Review your contracts.
Bank Holidays
You can include bank holidays in the 28-day entitlement (so 20 days + 8 bank holidays), or give 28 days plus bank holidays (36 total). Be clear in contracts which applies.
If you're open bank holidays, teachers working those days get a day off in lieu or extra pay (your choice, but must be in contract).
Sick Notes
Employees can self-certify for the first 7 days. After that, they need a fit note from their GP (or hospital). You cannot demand a GP note for the first week—that's illegal.
