Monthly Archives January 2015

Holiday Pay Update

Our November newsletter (http://www.scullytwiss.com/employment-appeal-tribunal-makes-important-decision-on-holiday-pay-and-overtime/) set out the latest position on overtime payments and holiday pay following the well-publicised case of Bear Scotland Ltd v Fulton – in summary that where workers were regularly paid overtime (even if non-guaranteed), this should be included in calculations of holiday pay. One of the headline concerns raised by employers was how far back could workers bring claims for underpaid holiday. The most obvious claim that a worker who has been underpaid holiday could bring would be a claim for unlawful deductions from wages. Before Bear Scotland v Fulton, the generally understood position was that
Read More

New Regulations Reduce Scope for Holiday Pay Arrears Claims

Important new Regulations (The Deduction from Wages (Limitation) Regulations 2014) have been made and will come into force on 8 January 2015. The Regulations, which are designed to limit the impact on businesses of the recent decision in Bear Scotland Ltd v Fulton impose a two-year limitation period on most unlawful deductions from wages claims, including claims for holiday pay. The new limitation period will apply to claims presented on or after 1 July 2015. The Regulations also provide that regulation 16 of the Working Time Regulations 1998 does not confer a contractual right to paid leave. This is intended to
Read More