What does Bear Scotland mean for employers, asks Sarah Johnson
The news has been full of holiday pay stories recently, but are employers facing holiday pay hell?
Yes, in that they will almost certainly have to include some variable payments, such as commission, in holiday pay, creating potentially significant liabilities. However, things looked a lot worse before the Employment Appeal Tribunal (EAT) decision in the joined cases of Bear Scotland Ltd and Others v Fulton and Others UKEATS/0047/13/BI, Hertel (UK) Limited v Woods and Others UKEAT/0160/14/SM and A mec Group Limited v Law and Others UKEAT/0161/14/SM (EAT decision).
Unite, the union representing the claimants, has now said it will not appeal.
Background
We are in this position because the Court of Justice of the European Union (ECJ) has held that our Working Time Regulations 1998 (regulations) do not comply with the European Working Time Directive (directive).
The directive provides employees/workers with at least four weeks’ paid annual leave in order to improve their health and safety. The UK “gold-plated” the directive, adding an extra 1.6 weeks’ paid holiday. The directive left member states
