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Holiday pain
Key points
- As a result of Harpur v Brazel some part-year workers employed on permanent contracts may be entitled to receive arrears of pay.
- Holiday pay calculations are historically tied in to the Working Time Regulations EU legislation and the part-time workers’ directive.
- This case is important for employment tax practitioners and payroll professionals because it highlights how easy it is for an employer to fall foul of the legislation.
- Employers who have employees working for them on a part-year but permanent contract basis will need to review their historic holiday pay calculations policies as a matter of priority.
The decision in Harpur Trust v Brazel [2022] UKSC 21 was handed down on 20 July 2022 having been heard at the Supreme Court on 9 November 2021. The decision upholds that of the Court of Appeal from August 2019 and dismisses the appeal by the Harpur Trust....
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