Holiday Pay rulings

Holiday Pay rulings

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What impact is being seen on the operation of payroll now that the courts have ruled on requirements that may see the inclusion of overtime and potentially commission.

What calculation changes are being applied going forward to ensure client employer compliance.

Firms such as PWC indicate that this could have significant impact on employers.

With the threat of back pay claims etc, should business accounts be making provision for potential liabilities and planning of future additional impact and costs?

And then the on-costs of National Insurance and AE employer contribution costs on the increased holiday pay entitlements.

But of course the legalities only apply to the first 20 days by right. Will employers split the leave and pay rules or just apply a uniform across the board rule.

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By johngroganjga
13th Mar 2015 17:07

Won`t the payroll providers just continue to process the payments their clients tell them to process? And if clients need advice on what to pay staff following the new rulings won`t that be coming for employment lawyers not accountants?

Yes if clients have claims for back pay to deal with that will be an issue for their accounts. 

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RLI
By lionofludesch
13th Mar 2015 17:34

Percentage set aside

I'm seeing the day coming when we set aside a proportion of pay into a "fund" upon which employees can draw for their holidays - rather than the traditional four weeks + bank holidays.

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