Holiday pay the new law | EEF

Holiday pay - the new law

Meet with our legal experts at this breakfast briefing where we explain the key aspects of the new judgment around holiday pay and how it may affect you.

Following the EAT’s ruling in Bear Scotland & Others, get the complete guide to your new holiday pay obligations and discuss the practical operational challenges with your peers.

This landmark Employment Appeal Tribunal judgment overturns decades of established UK practice. It confirms that holiday pay can no longer be based on basic pay. 

If any of your employees receive holiday pay which does not reflect the amount they normally earn when you take overtime, allowances and performance-related payments etc into account, you will be affected by this judgment.  

In this breakfast briefing, we explain the key aspects of the judgment and how it will affect you. We discuss how to achieve compliance in practice, including the difficult task of deciding how to calculate average normal earnings and which types of variable payment to include. We will help you understand your exposure to back pay claims and other consequential liabilities such as tax, NICS and possible underpayment of pension contributions. We also discuss how to respond to union or workforce demands. Throughout the session, you will have the opportunity to discuss the issues you are likely to face, and possible solutions, with your peers and our legal experts.

Who should attend?

  • HR managers
  • Finance Directors
  • Managing Directors

Why attend?

  • Hear from EEF’s specialists about the impact of this landmark judgment
  • Learn what changes are required to holiday pay
  • Debate the back pay issue
  • Discuss practical and strategic solutions with your peers

Takeaways include tools to help you achieve holiday pay compliance, including a table explaining which common payments are in scope and out of scope and a step by step checklist for calculating the correct amount of holiday pay.


Registration, coffee & breakfast

The judgment explained

  • what was ruled in scope for inclusion in holiday pay?
  • what are the other key rulings in the judgment?
  • what is the Government position?

Coffee break

Compliance going forward 

  • what are the operational challenges?
  • can you safely exclude any elements of variable pay from holiday pay calculations?
  • how do you calculate average normal earnings?
  • how to deal with bonuses and commission.

The back pay issue  

  • what are your options?
  • how to respond to union or workforce demands?
  • what might a negotiated settlement look like?


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