Posted on: Dec 08, 2016
With Christmas only a few weeks away, we thought we’d do a brief reminder about Closedown Periods that often occur during this festive time.
A Closedown Period means “a period during which the Employer customarily closes the Employer’s operations or discontinues the work of one or more Employees and requires his or her Employees to take all or some of their annual holidays”. Closedown Periods most commonly occur over the festive Christmas and New Year period, however can be at any other time of the year depending on the circumstances of the business.
Below are some important points to note about Closedown Periods:
- Businesses can only impose one Closedown Period per Employee in each year.
- Employers must give at least 14 days’ notice of a Closedown and the requirement to take annual holidays or discontinue work.
- Employers can require Employees to take annual holidays during a Closedown whether or not they agree to do so.
- There is no maximum length of a Closedown defined by the Law.
- If a Public Holiday falls during a Closedown Period then the day, if its observance falls on an “otherwise work day”, is paid for and treated as a Public Holiday.
For information about payment for Public Holidays please click here to read the article on this topic.
This article, and any information contained on our website is necessarily brief and general in nature, and should not be substituted for professional advice. You should always seek professional advice before taking any action in relation to the matters addressed.