Holiday Types
IRIS Cascade orders annual leave as follows:
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Carried over leave – If an employee has carried over leave into a new leave year, this is used first.
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Days subject to Average Holiday Pay – After carried over leave has been exhausted, the Average holiday pay scheme is applied to the next set of holidays, up to the entitlement limit.
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Additional/Enhanced Leave – Once the employee has exhausted their Average Holiday Pay entitlement, e.g. they are entitled to 20 days of Average Holiday but then receive 25 days as an entitlement, the standard daily rate is applied to the employee holiday.
You can use Payroll Query Builder to report on this information.
IRIS Cascade will capture this automatically and there is no requirement to create separate entitlement profiles.
Average Holiday Pay when Carry Over is used
Here's an example of an Average Holiday Pay calculation where carried over leave has been used.
Dawn Barker is taking annual leave between the 11th and 15th July. The first two days are carried over leave from the previous entitlement year. The flat daily rate is paid to the employee for the carried over leave, then the Average Holiday Pay is applied to subsequent holiday, up to the entitlement.
Average Holiday Pay Entitlement is exceeded
Here's an example of an employee whose Average Holiday Pay entitlement has been exceeded.
Gemma Williamson is running out of Average Holiday Pay Entitlement within the instance of holiday. (Hover over the warning triangle to view the warning message). The final day of average holiday is calculated and after this it refers to the employee's flat daily rate.