Source: IRS Employment Review Issue: 778 Date: 20-06-2003 Publisher: IRS

Working Time Regulations: Holiday pay must be paid in association with leave entitlement

TOPICS:
pay and benefits premiums and allowances
terms, conditions and employee rights working time and leave
contracts of employment terms of employment
international European Union

CASES: below is a list of cases discussed in this article. Click the case title for more XpertHR resources on the case and related cases.

MPB Structures Ltd v Munro [2003] IRLR 350 CS (3 reports)



Key Points

  • In MPB Structures Ltd v Munro1, the Court of Session holds that under the Working Time Directive and Regulations, it is intended that payment for annual leave should be in association with the taking of leave entitlement.

  • Therefore, a provision in a contract of employment, which purported to allow an employer to pay holiday pay by means of an additional "rolled up" element to basic pay, was void.
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