Unlimited Holidays - Branson Extends Flexible Working Concept for Virgin Employees

Richard Branson’s recent blog post, Why we’re letting Virgin staff take as much holiday as they want, announced the introduction of a ‘(non) policy’ for parent company employees - essentially leaving them to decide when and for how long they will take annual leave.

He was introduced to the idea by his daughter, who alerted him to an article on Netflix’s policy of allowing staff as much as holiday as they want, whenever they want. In the original article, written for The Telegraph in 2010, Daniel H Pink commented that: ‘This ultra flexible, freedom-intensive approach to holiday time hasn't exactly hurt the company…Perhaps more importantly, this non-policy yields broader lessons about the modern workplace’. Branson agrees: ‘Flexible working has revolutionised how, where and when we all do our jobs. So, if working nine to five no longer applies, then why should strict annual leave (vacation) policies?’

Importantly, however, the freedom isn’t absolute: employees are accountable for getting their work done and not damaging the business. The implied message is, take too many holidays and you won’t have a job to come back to.

The Law on Holidays and Holiday Pay

Every year, workers are entitled to 5.6 weeks of paid holiday. When employment ends, they are also entitled to receive pay for any leave due but not taken. These rights are statutory and can result in an Employment Tribunal claim if they aren’t respected by employers.

For employers thinking of adopting the policy, or employees thinking of proposing it to their employer, it is important to get advice on the employment law implications. In particular, contracts of employment may have to be redrafted or updated, and an approach to calculating holiday pay reassessed.

Expert Employment Law Services in Glasgow

If you are an employee or employer looking for advice about holiday entitlement and pay, or any other employment law matter, Employment Law Glasgow's specialist lawyers can help. To get in touch, please complete our online enquiry form.