In the latest holiday pay decision, the Court of Appeal in British Gas Trading Ltd v Lock and another has accepted that paid annual leave must include commission.
Workers have a statutory entitlement to 5.6 weeks' leave a year, during which they are entitled to be paid their normal pay. Recent case law developments have changed what may be regarded as "normal" and employers must now consider whether or not overtime and commission should be included in holiday pay.
The Court of Appeal has held that the Employment Appeal Tribunal (EAT) was correct to uphold an employment tribunal decision that the Working Time Regulations 1998 can be interpreted to require employers to include a worker's commission in the calculation of his or her holiday pay.
The Royal Courts of Justice was the setting this week for the latest chapter in the holiday pay saga. We flag up the arguments before the Court of Appeal in the Lock case on the inclusion of commission and provide an overview on where employers stand on holiday pay calculations.
The Court of Appeal heard Lock and another v British Gas Trading Ltd, on commission in holiday pay, on 11 July. We round up where we are with holiday pay case law and flag up the key arguments that were discussed before the Court of Appeal in the Lock case.
British Gas Trading Ltd v Lock and another, the highly-publicised case regarding holiday pay, was heard by the Court of Appeal on 11 July.
The Court of Appeal has heard the appeal in the important holiday pay case British Gas Trading Ltd v Lock and another, in which it is considering the application to UK law of the European Court of Justice (ECJ) ruling that commission must be included in holiday pay calculations.
Lock v British Gas Trading Ltd, the important case on the inclusion of commission in holiday pay, will be heard by the Court of Appeal in July.
Law firm Eversheds has said its appeal on behalf of British Gas against the Employment Appeal Tribunal (EAT) decision in British Gas Trading Ltd v Lock, on the inclusion of commission in holiday pay, will be heard on 11 July 2016.
David Malamatenios is a partner at Colman Coyle Solicitors. He rounds up the latest rulings.
HR and legal information and guidance relating to commission payments.