Labour Research (May 2004)

Law Matters

Rolled-up holidays

An employment tribunal has asked the European Court of Justice (ECJ) to rule on whether the practice of rolling payment for statutory holidays into workers' hourly rate, so that they get no pay when on holiday, is unlawful.

Two rulings on the issue, by Scotland's Court of Session and the Employment Appeal Tribunal (EAT) in England and Wales, have been contradictory.

The case has enormous implications for workers' rights, particularly in the construction industry, but is unlikely to be heard for some months.


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