Skip to content
Law Society of Scotland
Search
Find a Solicitor
Contact us
About us
Sign in
Search
Find a Solicitor
Contact us
About us
Sign in
  • For members

    • For members

    • CPD & Training

    • Membership and fees

    • Rules and guidance

    • Regulation and compliance

    • Journal

    • Business support

    • Career growth

    • Member benefits

    • Professional support

    • Lawscot Wellbeing

    • Lawscot Sustainability

  • News and events

    • News and events

    • Law Society news

    • Blogs & opinions

    • CPD & Training

    • Events

  • Qualifying and education

    • Qualifying and education

    • Qualifying as a Scottish solicitor

    • Career support and advice

    • Our work with schools

    • Funding your education

    • Social mobility

  • Research and policy

    • Research and policy

    • Research

    • Influencing the law and policy

    • Equality and diversity

    • Our international work

    • Legal Services Review

    • Meet the Policy team

  • For the public

    • For the public

    • What solicitors can do for you

    • Making a complaint

    • Client protection

    • Find a Solicitor

    • Frequently asked questions

    • Your Scottish solicitor

  • About us

    • About us

    • Contact us

    • Who we are

    • Our strategy, reports and plans

    • Help and advice

    • Our standards

    • Work with us

    • Our logo and branding

    • Equality and diversity

  1. Home
  2. News and events
  3. Blogs & opinions
  4. Holiday pay includes commission, appeal court agrees

Holiday pay includes commission, appeal court agrees

14th November 2016 | employment

The long-running trail of judicial rulings dealing with the calculation of holiday pay has been added to by the Court of Appeal in its decision in the case of British Gas v Lock [2016] EWCA Civ 983. On October 7 the court held that Mr Lock, a salesman who was paid a basic salary and variable commission, depending on sales achieved, was entitled to be paid his average pay while on annual leave.

Lock started his claim in 2012, after taking holiday from December 2011 to January 2012. He was paid only his basic salary for the holiday period. In 2014, the European Court of Justice held that, when calculating holiday pay, EU member states must ensure that a worker taking leave is paid by reference to commission payments that the worker would have earned if at work.

The issue for the Court of Appeal was whether the UK Working Time Regulations 1998 can be interpreted as including holiday pay in respect of commission.

The court ruled that when calculating holiday pay, workers are entitled to be paid an amount which reflects the commission they would have earned if not on holiday. However, the court did not deal with the question of how the amount should be calculated. Given the impossibility of accurately forecasting what a sales person would have accomplished had he or she not been on holiday, the logical approach must be to use an average sales figure over a reasonably lengthy reference period.

Add To Favorites
Law Society of Scotland
Atria One, 144 Morrison Street
Edinburgh
EH3 8EX
If you’re looking for a solicitor, visit FindaSolicitor.scot
T: +44(0) 131 226 7411
E: lawscot@lawscot.org.uk
About us
  • Contact us
  • Who we are
  • Strategy reports plans
  • Help and advice
  • Our standards
  • Work with us
Useful links
  • Find a Solicitor
  • Sign in
  • CPD & Training
  • Rules and guidance
  • Website terms and conditions
Law Society of Scotland | © 2025
Made by Gecko Agency Limited