Jamaica Holiday with Pay Act explained

 

Written by: Damalio Powell

The Holidays with Pay Act took effect on June 1, 1973. The purpose is to guarantee Jamaican workers time off from work with pay, once they meet the basic conditions. It also outlines rules for sick leave, termination payments, and gratuities for casual workers. 

This law ensures that workers get well-earned rest, fair treatment when ill, and compensation when their time is up. So, whether you're a company owner, HR manager, or a worker on the ground, remember this: Vacation and sick leave aren’t a luxury—they’re a right. And they are backed by law. 

1. Who Is Covered? (Section 2) 

This Order applies to: 

  • All non-casual workers (manual, clerical, or otherwise) in the private sector. 


 A “worker” includes anyone under contract of service, whether written or oral. 

 

2.  Holiday With Pay Entitlement (Section 3) 

If you work at least 110 days in a qualifying year, you’re entitled to a paid holiday from your employer. 

A “qualifying year” is any 12-month period starting: 

  • From January 1, 1973, or 

  • From the first day of employment if hired after that 

 

3. How Long Should Your Paid Holiday Be? (Section 3(2); Schedule) 

Days Worked in the Year 

Holiday Duration 

220+ days 

2 normal working weeks 

220+ days (with 10+ years of service) 

3 normal working weeks 

Between 110 – 220 days 

1 day off for every 22 days worked (round up to nearest full day) 

Example: If you worked 154 days in the year, your leave = 
154 ÷ 22 = 7 days of paid holiday 

 

4. When Can You Take the Holiday? (Section 4) 

  • - Your holiday is usually taken in the following year 

  • You and your employer can agree to take it earlier or roll it over for up to 2 more years (maximum 3-year accumulation).

  • - The days must be consecutive working days (excluding Sundays and public holidays) 

  • Cannot be taken during a notice period (e.g., if you’re being let go) 

 

5. How Holiday Pay Is Calculated (Section 5) 

If you're paid by the hour or day: 

  • You get the same pay as your last full week of regular work before the holiday 

If you're paid by piece or commission: 

  • You get 1/65th of total regular earnings from the last 13 weeks worked 

Payment must be made before the holiday starts. 

 

6. Casual Workers Get a Gratuity (Section 6) 

If a casual worker works: 

  • At least 110 days, OR 

  • Earns the equivalent of 110 days of wages, OR 

  • Appears on paybills for at least 20 weeks, 

They are entitled to a gratuity of 3% of total wages earned for that year. 

 

7.  When Employment Ends (Section 7) 

Upon termination, the employer must: 

Pay the worker for any unused holiday they earned 

Pay any gratuity due if the worker is casual 

If the business is transferred to a new owner, the new employer must pay what’s owed.

 

8. Sick Leave with Pay (Section 8) 

a. In Your First Year: 

  • If you work 110 days, you get 1 paid sick day for every 22 days worked 

b. After Your First Year: 

  • You’re entitled to 2 full working weeks of paid sick leave annually. 


You must notify your employer and provide a doctor’s certificate for illness lasting more than 3 days.

 No sick leave pay if you’re already getting NIS sickness benefit or Workmen’s Comp. 

 

9.  Sick Pay for Casual Workers (Section 9) 

If a casual worker meets the same 110-day/20-week standard and becomes ill: 

  • They're entitled to sick benefit for up to 10 days per year 

  • The daily sick benefit = 1/10 of 3% of total earnings up to that point 

 

10.  Transfers Don’t Cancel Entitlement (Section 10) 

If your company changes ownership, your holiday pay, sick leave, and gratuity remain valid. The new employer must honour them. 

 

11. Employers Must Keep Records (Section 11) 

Employers must maintain records showing: 

- Name and start date 
- Regular wages 
Sick leave and holiday granted 
Amounts paid for leave and gratuity 

 

12.  Can an Employer Offer More? (Section 12) 

Yes! Employers can give: 

  • - Longer holiday leave 

  • - More generous sick pay 

  • - Higher gratuities 

But they can’t offer less than what’s required under this Order. 


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