Pro Rata Annual Leave Calculator
Understanding Pro Rata Annual Leave
Pro rata annual leave is a calculation used to determine how much holiday time an employee is entitled to when they work less than a full-time schedule or only work for part of a year. The term "pro rata" is Latin for "in proportion."
In most jurisdictions, part-time employees are legally entitled to the same proportion of holiday as full-time workers. This ensures fairness in the workplace and prevents discrimination against part-time staff.
How to Calculate Pro Rata Leave
The standard formula for calculating pro rata leave based on hours is:
(Employee's Weekly Hours ÷ Full-time Weekly Hours) × Full-time Annual Entitlement
If the employee is also starting or leaving mid-year, you must further multiply the result by the proportion of the year they have worked:
(Step 1 Result) × (Months worked ÷ 12)
A full-time worker gets 28 days of leave based on a 40-hour week. Sarah works 20 hours a week and joined halfway through the year (6 months).
1. Pro rata for hours: (20 / 40) * 28 = 14 days.
2. Pro rata for time: 14 * (6 / 12) = 7 days.
Sarah's entitlement: 7 Days.
Rounding Annual Leave
It is important to note that while employers can round holiday entitlement up, they generally cannot round it down. For example, if a calculation results in 14.2 days, the employer should either provide 14.5 days or 15 days, depending on company policy, but never 14 days if it would result in the employee receiving less than their statutory minimum entitlement.
Bank Holidays and Pro Rata
Part-time workers are also entitled to a pro rata share of bank holidays. If your company includes bank holidays in the total annual leave entitlement (e.g., 20 days holiday + 8 bank holidays = 28 days total), the pro rata calculation applies to the entire 28-day pot.