Term time working has gained traction in recent years as more organisations look for ways to support employees with families and other commitments. One of the first major companies to adopt this approach was Amazon, which helped bring the concept into the spotlight. As interest in more flexible working arrangements continues to grow, it’s important for employers to understand how term time contracts operates, along with the benefits and potential challenges it presents.
In this blog post, we’ll explore the ins and outs of term time working to help you decide if it’s the right fit for your business.
What is term time working
Term time working is a type of flexible working arrangement where employees work only during school terms and take time off during school holidays. This means their working pattern aligns with the academic calendar, typically offering 13 weeks of unpaid leave spread across the year’s school breaks.
It’s most commonly used by working parents or carers who need to balance employment with childcare responsibilities. However, it can also appeal to anyone looking for a more predictable and seasonal work schedule. Employees on term time contracts are usually either paid only for the weeks they work, or receive a pro-rated salary spread evenly across the year.
This arrangement supports work-life balance and can improve employee retention, especially for those with family commitments.
Amazon Term Time Contract
Amazon has introduced term-time working contracts for its UK operations employees, offering a flexible solution for parents, grandparents, and guardians of school-age children. These contracts guarantee time off during school holidays—six weeks in summer, and two weeks each at Easter and Christmas—without impacting employees’ access to full-time benefits.
Launched in 2023 following employee feedback, the initiative aims to support work-life balance and has been particularly beneficial for single parents and carers. This approach not only helps with employee retention but also positions Amazon as a leader in offering family-friendly employment options. By accommodating the needs of working parents and carers, Amazon sets a precedent that other employers might consider adopting to support their workforce effectively.
How to Handle a Request
Employees now have a day one right to make a flexible working request. An employer must make their decision on this within two months (or longer if the employees agrees to this).
If the employer decides to agree to this, they will then have to update the employee contract to reflect this. If the decision is to reject the request, employers must give their staff the reasons why.
It’s important to remember that employees have the right to make up to two requests for flexible working in a 12-month period.
Can you refuse a term time working request?
Although employees have a right to request a flexible working arrangement, it doesn’t mean they have an automatic right to work flexibly. However, you as an employer are required to consider the request properly. There are a number of reasons according to legislation that you can refuse a request. This includes:
- The flexible working arrangement will increase costs
- If it reduces capacity to meet customer demand
- Challenges in redistributing work among existing staff
- Potential decline in quality
- Negative impact on overall performance
If you decide that accommodating an employee’s request for term time working is not feasible, you must clearly communicate the reasons for your decision to the employee. If you find this request is possible, we encourage you to approve this.
Annual leave entitlement for term time working
One of the most common questions we are asked about term time working is annual leave entitlement. In Brazel v Harpur Trust, the Supreme Court ruled that holiday entitlement for term-time workers should not be pro-rated like that of full-time staff. The commonly used 12.07% method does not always reflect the correct legal entitlement and should be avoided.
Term-time employees usually take holidays during school breaks. However, since school holidays are longer than their paid holiday entitlement, there will often be unpaid leave in addition to their statutory leave.
Managing Holiday Requests
You’re not required to allow term-time staff to take holiday during term-time, but a flexible approach might permit it, with agreement on how missed hours are made up. Public holidays should also be considered—though most will naturally fall during school breaks.
Employment Contract Essentials
To manage term-time only (TTO) workers effectively, key contract clauses should cover:
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Pay: Clarify whether pay is spread evenly over the year or only reflects hours worked each month.
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Working Hours: Outline normal working patterns and confirm that work is limited to term-time. Ask staff to provide annual term dates for planning.
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Holiday: State entitlement (minimum 5.6 weeks), based on actual working weeks—not average annual earnings. Explain that holiday is usually taken during school holidays, and that some school breaks will be unpaid.
Risks to Consider
1. Operational Disruption
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Reduced staff availability during school holidays may affect service delivery or business continuity.
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Teams may struggle with workload imbalances if term-time workers are unavailable during peak periods.
2. Workforce Inequality
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Offering term-time only roles may create perceptions of unfairness among employees without children or different working patterns.
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Could lead to resentment or morale issues if not managed transparently.
3. Contractual Complexity
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Contracts must clearly define working weeks, pro-rata pay calculations, and holiday entitlement to avoid legal issues.
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Misunderstanding around pay during holidays can result in disputes or claims.
Term Time Working FAQ’s
What industries is term time working suitable for?
While most common in education and childcare, term time working can also be adapted to roles in administration, customer service, and other sectors that can plan around school holidays.
Can term time workers do overtime?
Yes, but this should be agreed in advance and clearly stated in their contract. Overtime may be paid or offered as time off in lieu, depending on your policy.
Do term time workers get the same benefits as full-year staff?
They are entitled to the same core employment rights (e.g. pension, sick leave, and protection from unfair dismissal).
How should employers handle cover during school holidays?
Employers should plan ahead, redistribute work, or hire temporary staff if needed. Ensuring clear team communication and planning helps maintain service levels.
Does term time working affect maternity or paternity pay?
Entitlement is based on earnings and continuity of employment. If earnings fall below certain thresholds due to unpaid periods, this could impact eligibility. Always seek advice when planning family-related leave with non-standard contracts.
How The HR Booth Can Help
At The HR Booth, we support organisations in creating fair and legally compliant flexible working arrangements, including term time contracts. Whether you’re updating your policies, reviewing employment contracts, or navigating a flexible working request, our team can help you find practical solutions that work for both you and your employees.
If you need help drafting a term time working contract, managing holiday entitlement, or responding to a flexible working request, get in touch with us today.
