I will be processing the payroll for a client this week, I am a little confused, the employee in question is going on maternity leave as from the 14th February, she is being paid SMP, she as also asked for holiday pay whilst she is on maternity leave, does anyone know if she is entitled to holiday pay. Your help would be much appreciated.
Holiday entitlement You build up all your entitlements to paid holiday through all of your Statutory Maternity Leave. This is even if your employment contract says you are entitled to more than the statutory minimum. You can add holiday to the beginning or end of your Statutory Maternity Leave. You may not be able to carry over untaken holiday entitlement if your Statutory Maternity Leave goes over two holiday years. It is often best to take this at the beginning of your Statutory Maternity Leave.
I'm guessing she has holiday owed to her that she wants to be paid for rather than actually taking the holiday as time off - If the employer is happy for this to be paid then it should be fine.