Holiday pay – important changes

There has been a lot of coverage in the press recently regarding the calculation of holiday pay following years of confusion and inconsistencies.  This has been as a result of several cases recently taken to the European Court in respect of what should be included as “normal pay” when looking at the basis for calculating holiday pay for employees who regularly have overtime and /or commission as part of their earnings.  As a result of these cases, employers are being advised to review their pay policies when it comes to the payment of holidays.

If you think you could be affected we advise that you check with your legal /HR adviser; if we can be of any further assistance please contact our employer taxes specialist, Helen Sewell on [email protected] or call 01527 558539..