Holiday Pay Decision
Twitter has been alive with employment updates this morning following the hotly anticipated decision regarding the calculation of holiday pay.
The implications were vast, employers may have been liable for backdated holiday pay claims to take account of overtime and commission.
Judgement was handed down just after 10.30am and while the workers have been successful in claiming that the additional payments which are intrinsically linked to the performance of their duties should be included in holiday pay, the backdated element has been limited by the EAT.
This means employers are unlikely to face a large bill for claims for historic payments, however employers are now likely to have to take account of the decision when making budget considerations. Commentators are expecting pay freezes and a cautious approach to budgets and planning in the year ahead.
The decision may yet be appealed. The full summary is available here: http://www.dlapiperbeaware.co.uk/holiday-pay-the-verdict/
We will update the blog later today with full details.
