Last May, we reported on the European Court of Justice's decision in the case of Lock v British Gas Trading Ltd which concerned holiday pay and commission payments. You may recall that the case was to
Last May, we reported on the European Court of Justice's decision in the case of Lock v British Gas Trading Ltd which concerned holiday pay and commission payments. You may recall that the case was to be remitted back to the Employment Tribunal and the case was finally heard in the Tribunal last month. In its judgment, issued last week, the Tribunal held that the Working Time Regulations can be interpreted in such a way so that an employee's holiday pay includes commission. Unfortunately, the decision did not address the key issue that many businesses and employment lawyers have been awaiting, namely, clarification of the relevant reference period for calculating commission payments during holiday. This issue therefore remains to be determined at a future Tribunal hearing.
Separately, this week the President of the Employment Tribunal has revoked practice directions issued in December 2014 concerning the handling of underpaid holiday pay claims and substituted them with new directions. The practice direction allows a claimant to apply to amend an existing holiday pay claim to include a further complaint of alleged non payment of holiday pay that has arisen after the original claim was presented. Given that many applications to amend have been made where cases are stayed, the new practice direction confirms that applications will be dealt with at the time they are made and any stay lifted temporarily for that purpose.
Finally, the Court of Appeal in Northern Ireland is due to hear an appeal in June this year against an Industrial Tribunal's decision that voluntary overtime should not be included in the calculation of holiday pay. We will report further on this decision later this year once the appeal has been heard.
In the meantime, if you have any queries on the issue of holiday pay and commission or overtime arrangements, please do not hesitate to contact any member of our team.
Separately, this week the President of the Employment Tribunal has revoked practice directions issued in December 2014 concerning the handling of underpaid holiday pay claims and substituted them with new directions. The practice direction allows a claimant to apply to amend an existing holiday pay claim to include a further complaint of alleged non payment of holiday pay that has arisen after the original claim was presented. Given that many applications to amend have been made where cases are stayed, the new practice direction confirms that applications will be dealt with at the time they are made and any stay lifted temporarily for that purpose.
Finally, the Court of Appeal in Northern Ireland is due to hear an appeal in June this year against an Industrial Tribunal's decision that voluntary overtime should not be included in the calculation of holiday pay. We will report further on this decision later this year once the appeal has been heard.
In the meantime, if you have any queries on the issue of holiday pay and commission or overtime arrangements, please do not hesitate to contact any member of our team.