Guide: Calculating Holiday Entitlement for Zero-Hours Workers

Zero-hours workers are still entitled to paid holiday. In the UK, the statutory minimum holiday entitlement is 5.6 weeks per year.

For zero-hours workers, or workers with irregular hours, holiday entitlement is usually calculated based on the hours they actually work.

The calculation

For leave years starting on or after 1 April 2024, irregular hours and part-year workers accrue holiday at 12.07% of the hours they work.

It is important to note that this rate of accrual assumes that a permanent full-time worker at the same organisation has an annual holiday entitlement of 28 days (which is the statutory minimum of 5.6 weeks for a full-time employee).  If, in fact, that full-time worker had an annual entitlement of, say, 30 days the employer would need to consider (and if necessary take legal advice) an increased accrual for its zero-hours workers, because they are not supposed to receive less advantageous terms because of their status.

The calculation is:

Hours worked × 12.07% = holiday hours accrued

Example 1

If an employee works 80 hours in a month:

80 × 12.07% = 9.66 hours

This means they have accrued 9.66 hours of holiday for that month.

Example 2

If an employee works 20 hours in a week:

20 × 12.07% = 2.41 hours

This means they have accrued 2.41 hours of holiday for that week.

Why 12.07% is used

The 12.07% calculation is based on the statutory minimum holiday entitlement of 5.6 weeks.

A full year has 52 weeks. If you remove 5.6 weeks of holiday, this leaves 46.4 working weeks.

5.6 ÷ 46.4 = 12.07%

Holiday pay

When the worker takes holiday, holiday pay should be based on their average pay. For irregular hours workers, this is normally calculated using a 52-week reference period.

Important notes

Holiday entitlement should be calculated based on the worker’s actual hours worked.

Employers should keep clear records of hours worked and holiday accrued.

If a worker leaves part-way through the year, their holiday entitlement should be calculated up to their leaving date.

The GOV.UK holiday entitlement calculator can also be used to check entitlement for individual workers.

Simple summary

To calculate holiday for a zero-hours worker:

Add up the hours worked in the pay period, then multiply by 12.07%.

For example:

100 hours worked × 12.07% = 12.07 hours of holiday accrued