WFM UK: HR: Casual Holiday Scheme – Fourth & HotSchedules Customer Success Portal

Casual Employee: Definition

For more information on the supreme court’s recent ruling on casual holidays please see WFM UK: Supreme Court Rules 12.07% Holiday Calculation as Unlawful

A Casual Employee is a rota paid employee who works on a very ad-hoc basis. A Casual Employee does not work regularly and does not have a standard weekly working pattern.

Casual Employees often have no contractual obligation to work or to be provided hours and are often referred to as seasonal staff.

Casual employees are determined by selecting the Casual employment status within the employment details page. Changing an employee’s employment status to Casual will have a direct effect on how holidays are calculated for that employee

Fig.1 - Casual Employment Status

Casual Holiday Accrual Process

Casual Holiday uses a calculation that allows an employee to accrue holiday per hour of work that they complete. The Casual Holiday allowance is described in hours and not in days. As opposed to all other holiday options in the system, it is not based on length of service and does not expire based on a specified holiday year-end. Casual Holiday is calculated by assigning 12.07% of every hour worked to the employee’s holiday accrual: the more a Casual Employee works, the more holiday hours they will accrue. Casual Holiday hours are requested and booked in the same manner as all other holiday options available in the system.

Migration to the Casual Holiday Scheme

It is best practice to migrate employees to the Casual Holiday Scheme at the end of a holiday year. The reason for this is so that all holidays already earnt on another holiday scheme are taken and not carried over when an employee is switched to Casual Holiday. Employees should not be changed to the Casual Holiday Scheme without consulting the Fourth Relationship Manager. There is a three month lead time to prepare and switch on this functionality.

Casual Holiday Scheme: Explanation of Core Concepts

The Casual Holiday Scheme involves a number of variables used in calculations to provide the most accurate holiday pay to Casual Employees. Many of these fields are displayed within the employee’s holiday page located in:

HR > Employees > Employee HR Info > Holidays

Hours Accrued

The hours accrued field displays the number of holiday hours that an employee has earned up to and including the current date. The system assigns 12.07% of every hour worked to the holiday hours accrued field.

Fig.2 - Hours Accrued Field

The following calculation is used to derive the Hours Accrued field:

Fig.3 - Hours Accrued Example

Hours Taken

The Hours Taken field details the number of holiday hours that the employee has taken. This field will display any holiday hours that have been requested and authorised on or before the current date.

Fig.4 - Hours Taken Field

During migration to a Casual Holiday Scheme, if holiday allowances earned under a previous scheme are to be carried over, the carried over value will be displayed as a negative amount within the Hours Taken field (Fig 4).

Fig.5 - Carried Over Holiday Allowances Displayed as a Negative Value

The user will be able to distinguish between holidays carried over and approved holiday requests as the holidays carried over will have a negative holiday taken amount displayed.

Fig.6 - Carried Over Holidays vs. Authorised Holidays

As holiday hours are booked and taken, the carried over value will reduce eventually resulting in the hours taken field to show a 0 value. Although this function is available, it is not recommended that any holiday from other holiday schemes be carried over when switching to the Casual Holiday Scheme.

It is best practice for customers to transition to the Casual Holiday Scheme at the end of a holiday year so that all holidays accumulated using other schemes are taken prior to migration.

Hours Booked

A Casual Holiday is booked when a holiday request is created in the system. Holiday requests are created within the employee’s holiday screen. The following steps are to be followed in order to create a Casual Holiday request.

While in the employee’s holiday screen the Create a Holiday Request link is selected. Once selected, the date of the holiday request should be inserted

Fig.7 Creating a New Holiday Request

Once the date of the holiday request is inserted the user next needs to confirm the holiday value
Enter the number of holiday hours being taken in the Value field
If the user creating the holiday request has permissions to approve a holiday request, an authorisation tick box will also be available. If this is not the case, then by selecting the Save button, the holiday request will be sent to the reporting manager for authorisation

Fig.8 - Number of Hours is Required

The Hours Booked field will display the number of holiday hours that an employee has requested and that have been authorised. This field will display any holiday hours where the date of the holiday is after the current date.

Fig.9 - Hours Booked Field

Hours Remaining

The hours remaining field displays the number of holiday hours that an employee has remaining up to the current date. This figure is derived by taking the hours accrued less any hours taken, less any hours booked.

Fig.10 - Hours Remaining Field

The following calculation is used to derive the Hours Remaining field:

Fig.11 - Hours Remaining Example

Actual Holiday Pay Rate

The actual holiday pay rate is the value at which holiday hours will be calculated and paid to each employee. This amount will show on the employee’s payslip. The following calculation is used to derive the actual holiday pay rate:

Fig.12 - Actual Holiday Pay Rate Example

Casual Holiday Scheme Reports

Casual Holiday will be displayed on all holiday reports available in the HR module. These reports are located in:

HR > Reports > View Reports

Holiday Status Report

The holiday status report shows a list of authorised, unauthorised and removed holidays for a specific location, division and date range as well as the status of each holiday taken. The remaining holiday hours for any Casual Employees included within this list will also be shown.

Fig.13 - Holiday Status Report

Holiday - Year To Date Report

The Holiday Year to Date report returns a summary of the employee’s holiday fields for a Specific Location, Division and date range. The employee’s Start Date, Holiday Allowance, Holidays Taken, Holidays Booked, Holidays Remaining and Holidays Accrued are also presented in the report. This report is run for all employees within a company. Casual Employees are distinguished by the description Hours which is displayed in the Pay Type field.

Fig.14 - Holiday - Year To Date Report