Latest News from ECJ
The latest development in holiday pay litigation was handed down by the ECJ in the case of King -v- The Sash Windows Workshop Limited. This case re-inforces the principle that where an employer had denied a worker holiday pay, either by not permitting them to take holiday or by claiming that they are self-employed when they are in fact workers, then accumulated holiday pay can be carried forward from one year to the next and claimed in full by the worker upon the termination of the contract.
More significantly, the Court found in effect that there should be no limitation upon the amount of accrued holiday which can be claimed by the worker. In other words, the dismissed worker could claim his accrued holiday pay from the date he commenced his contract right up to the termination date rather than be subject to the two year restriction which has been applied in domestic legislation.
The consequences for litigants in the employment status disputes, such as the much publicised Uber case, are now much higher. For example, a "worker" who has been engaged for 10 years would now be claiming 40 weeks pay rather than the 8 weeks pay allowable under domestic legislation.
Another good reason for employers to review their contracts.