First published on Thursday, June 4, 2020
Last updated on Thursday, December 12, 2024
Annual leave is a legal entitlement for everyone classed as a worker in Ireland. It provides the opportunity for valuable time away from work, allowing for rest and recovery to support the health and wellbeing of workers in all industries.
Happy and healthy workers are what keep businesses running, so, as an employer, not only is it your legal duty to grant annual leave, but it is also in the best interest of your business.
In this article we discuss what annual leave is, the current statutory entitlements in Ireland, and its importance within the workplace. Plus, discover how a staff holiday planner can make leave management as simple as possible.
What is annual leave?
Annual leave is a period of paid time off from work, sometimes known as holidays from work or paid time off (PTO). Annual leave is usually used by employees to take a rest from work, enjoy a holiday, or simply spend a day or more away from the workplace.
This is a type of leave covered by Irish employment law and you are required to grant your employees a legal entitlement each year.
Holiday entitlements in Ireland
Outlined by the Organisation of Working Time Act, 1997, workers in Ireland, which include full-time, part-time, temporary and casuals, are entitled to the following statutory annual leave allowances.
4 weeks of annual leave if the employee has worked at least 1,365 hours (this does not apply to anyone who has changed employment in that working year).
1/3 of a working week for each month of the year if the employee has worked at least 117 hours.
8% of the total hours the employee has worked in a leave year, this is subject to a maximum of 4 working weeks.
These are the 3 most common ways to calculate statutory holiday entitlements in Ireland. You may opt to provide more than the statutory number of hours/days of annual leave, but this must be outlined in the employee’s contract of employment.
Annual leave and public holidays
Generally, across Ireland, employees are entitled to paid leave on public holidays. However, this may differ between full-time and part-time employees.
For those who are entitled to the public holiday benefit they can choose whether to take the public holiday as a paid day off, add an additional day of annual leave, take an additional day’s pay or take a different paid day off within the month.
As an employer, you can decide which option you wish to provide your employee. Making sure to give at least 14 days’ notice prior to the upcoming public holiday.
More on public holiday benefits and annual leave can be found in the Organisation of Working Time Act 1997. And to provide some peace of mind, our 24/7 employment law advice service offers unlimited advice, in case you are unsure about annual leave allowances or are struggling to make a HR decision regarding leave.
Writing an annual leave policy
Having an annual leave policy in place helps to keep rules regarding annual leave allowance and holiday requests clear.
Your policy should include the following details:
How many annual leave days an employee is entitled to per year
The process for requesting annual leave
Criteria for approval or denial of holiday requests
Rules regarding emergency leave
Notice periods and annual leave allowances
Mention of circumstances in which leave may be denied
With BrightBase you can access a wide range of HR templates and document guides. Including a handy template for writing your very own annual leave policy.
The importance of annual leave allowance for your business
Annual leave allowance isn’t simply in place to offer your employees the chance to take a holiday. It exists to ensure that workers in the UK can enjoy a good work-life balance. Being granted the time to take a break, rest, and unwind helps to protect their wellbeing.
Those who make the most of their annual leave allowance are far more likely to be productive in work, supporting business performance and growth.
The benefits of annual leave include:
Greater productivity
Improved rates of employee engagement
Better work output and team performance
Supports the success of the business
Helps to reduce staff burnout and improve rates of retention
Processes for managing employee annual leave
Managing who’s in and who’s out can quickly become a HR nightmare if not documented properly.
Most businesses opt to use a type of holiday planner or annual leave calendar to keep track of who has annual leave and for how long.
Digital versions are even more advanced. Giving employees and managers access to annual leave calendars. Allowing employees to book annual leave in a few clicks, seeing what dates are available, and how much allowance they have remaining for the year. While managers can approve or deny holiday requests at their fingertips.
BrightHR’s staff holiday planner provides all these features and more! Making your leave management as easy as can be.
Simplify your leave management with BrightHR
Keep everything in one place and gain full visibility of when your staff are taking holiday leave with BrightHR.
With a growing business, it can be difficult to manage employee annual leave, keeping record of holiday requests and who has annual leave when. But thanks to BrightHR, you don’t need to battle with dated calendars or endless spreadsheets to manage paid holiday time. And with our handy HR app, you can even view annual leave requests at home, on the move, or while away on business.
Book a free demo today to discover the many benefits of an online staff holiday planner for your business.
