Overtime should be included in holiday pay!

This seems like a very strange ruling, earlier this morning when I first heard about this case and that a judgement would be made today, I thought there was no way that it would be upheld. Overtime by definition is in addition, how can you state you would have done a certain number of extra hours, and besides, you aren't doing them!

It will be appealed so will be a few years before a definitive answer is given.

http://www.bbc.co.uk/news/business-29896810

 

I'd be looking at a couple of grand if it's back paid.

 

Big business ripping people off and now this. They don't like it up 'em!

 

I've had a bit more clarification now where it's related to people on contracts less than 35 hours a week but regularly do a 35 hour week. Makes a bit more sense now.

 

Seems a good thing to me if you are regularly working OT almost as part of your Ts & Cs then seems reasonable that thus should also be factored into your holiday pay.

 

The Judgment is quite restrictive in that it only relates to 'underpaid' holiday within the last 3 months. However, this only relates to your European holiday entitlement (i.e. 4 weeks). Uk employers provide 5.6 weeks holiday.

The Judge has said that you are deemed to have taken those 4 weeks first and so the additional 1.6 weeks are taken last. Therefore if someone has taken their 4th week of holiday more than 3 months ago then they may not be able to bring a claim.

However, the Judge has made this up as he has gone along in my view (and most employment lawyers'), perhaps because he has been under pressure from the government. It will get appealed to the Court of Appeal and then go to Europe I would have thought.

 

We had to sort this out at our place earlier this year. I now have to maintain a spreadsheet that flows through to holiday pay adjustments based on the o/t levels worked. There was backpay involved as well. We decided to do it ahead of the ruling based on legal advice.

 

It actually started as an action by a bloke who earned most of his salary in commission payments, obviously he can't earn commission if he's on holiday.

 

By ensuring people are paid fairly? Yep, that does justify their existence.

 

What?!

 

Isn't that how all unions justify their existence? Looking after their members?

 

I agree with the ruling in principle but I'm not sure if it should be applied retrospectively (I don't know if it will be, I haven't read the ruling yet). I would also worry about small businesses being able to afford it.

 

Happens at our place already. Most of our store assistants are on 25 hour contracts but regularly work 30-35ish hours a week, so hol pay is worked out on their average working week over the previous 16 weeks prior to the holiday.

 

don't get excited folks.....you won't get much

hopethishelps