Working time rules could spell the end of bank holidays

Hospitality bosses are likely to reduce their wages bill by using bank holidays to make up the extra week's holiday they will have to give workers by law next month.

The cost of awarding an extra week will be so high, says the British Hospitality Association (BHA), that many hotels and restaurants offering less than four weeks will want to include the UK's eight public holidays to make up the shortfall.

Under the Working Time Directive, which came into force in October 1998, employers have to give full-time workers a minimum of three weeks' annual paid holiday, but this rises to four weeks in November. Now trade unions are gearing up to lobby the Government over the rule, which could lead to more hospitality workers being expected to work public holidays for the same rate as any other day.

"We are living in a 24-hour society but when it comes to workers rights we have a tiered system where one section of society gets bank holidays and another doesn't," said Dave Turnbull, regional organiser for the Transport & General Workers' Union.

Turnbull said many employers were already treating public holidays as normal working days.

The BHA argues that the extra week could add a tremendous cost burden to employers.

"If they gave three weeks' holiday before, they are looking at paying out an extra week's wages. This could be an enormous bill," said Phil Philips, the association's technical manager.

Philips said that the impact of the legislation might hit home during the Christmas holidays or when employees leave and want to settle up their paid holiday entitlement.

by Christina Golding