Small business owners are finding the amended regulations on employee holiday entitlement confusing. According to consultant Croner there will be even more problems ahead as small business owners try to figure out the small print.
The forthcoming increase in entitlement from 20 to 28 days, has been welcomed by employees and unions but no one has really considered what it means to an already overworked owner or manager.
The timing of the change is proving to be a particular headache with many employers. In a survey, Croner found that 70% wanted the extension to happen in one main change, rather than the phased way it has been planned.
The transition period is due to begin on 1 October this year when entitlement will increase from four weeks to 4.8 weeks. On 1 October 2008 it will increase to over five and a half weeks.
The Croner report points to a major lack of forethought or consideration for business owners. Given that most holiday years start in January or April most owners will have to calculate a proportion of the entitlement for the part of the year from October till their holiday year commences for each of their employees.
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