Claims for arrears of holiday pay limited to two years

Implementation date: 1 July 2015

The Deduction from Wages (Limitation) Regulations 2014 provide that claims for unlawful deductions from wages in respect of arrears of pay for holiday, are limited to a period of two years prior to the presentation of the claim to an employment tribunal. In addition, the Regulations amend the Working Time Regulations 1998 to prevent the possibility of holiday pay claims being brought as a claim for breach of contract, where claims can go back six years. The Regulations apply to claims presented on or after 1 July 2015.