Holidays Act Review – Transport Sector

Probity uses a standard methodology to assess, quantify and remediate Holidays Act compliance payments.  We used this two stage methodology for a large (1000 FTE plus) and a small (180 FTE) organisation in the transport sector.

We undertook a two-stage Holiday Act review.  Stage one was the determination of compliance with the Act and stage two was the calculation and remediation of the findings from stage one.

In stage one we worked with the organisations’ payroll teams and payroll providers to obtain data to assess and determine if each payment type made to staff was compliant with the Act.  Determining compliance is a very detailed process (because each payment type (e.g. salary, allowances) needs to be assessed against each rate type (e.g. Average Weekly Earnings (AWE), Relevant Daily Pay) – item by item).  Probity uses a templated checklist and process to assist with this process.

Stage two involved taking the agreed assessment from stage one and applying this to the historical data set over seven years of pay cycles.  Because of the volume of data spreadsheet analysis is not possible.  Probity’s development team uses a our Holidays Act Calculation (HAC) SQL tool to recalculate the historical underpayments based on extracts from the client’s payroll systems.  This tool calculates the difference between what should have been paid and what was paid on a pay by pay basis and allows the clients to make the outstanding payments to their staff.

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