The amount of holiday pay that some workers receive is likely to increase as a result of a decision by the Employment Appeal Tribunal in a case called Bear Scotland v Fulton.
The case decides that holiday pay must reflect a workers normal earnings and so include payments for regular overtime or other pay elements intended to compensate the worker for time and
inconvenience such as shift allowances. Payments that cover expenses exclusively incurred in performing the work are not included.
The effect of the judgment is potentially far reaching and may allow workers to claim underpayments of holiday pay stretching back a number of years but this part of the case is subject to
further appeals and potentially new regulations from the government.
Even if the routes to back pay are closed off this ruling will still mean higher holiday pay for some workers in the future.
For more detail on the detail of the case see the main page on the website: