European Court rules ‘rolled-up’ holiday pay is unlawful

• Author:
• Pinsent Masons Employment Group

A ruling by the European Court of Justice (ECJ) in the case Caulfield v. Hanson Clay Products Ltd (formerly Marshalls Clay Products Ltd) indicates that 'rolled-up' holiday is unlawful even if it is clear in the contract of employment what proportion or amount of the rolled-up pay is holiday pay.

'Rolled-up' holiday pay refers to the practice of an employer agreeing with workers that their pay for annual leave is included in their hourly remuneration and paid as part of remuneration for wor... (880 more words)

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