ACAS publishes guidance on holiday pay

ACAS has produced a useful checklist as a result of the Bear Scotland decision and subsequent changes to the Employment Rights Act 1996, which will limit the time period for backdated claims for deductions of wages for shortfall in holiday pay. This change will come into effect on 1 July 2015. Claims to a tribunal must be made within three months, and if a claim is for a series of deductions there can be no more than three months between them.

Given that Good Friday is on 3 April this may or may not, depending on the employee’s annual leave at New Year, fall within the three month period. If it doesn’t fall within the three months, relevant employees may wish to request a holiday before Easter and/or before 1 of July, and employers may wish to decline these requests.

Guaranteed and non-guaranteed (but not voluntary) overtime and commission should be taken into account. Work-related travel will also have to be considered. Claims are limited to the four weeks in the Working Time Directive and not the 5.6 weeks' statutory leave or greater contractual leave.