Overtime related holiday pay??

tay14

I work for a large well known firm on a 40hr a week contract.
I normally work around 50hrs a week sometimes more some times less.Some of my friends at different comapys are now been paid overtime related holiday pay and have receive back payments but when I ask are wages department they no nothing about this new rule??sould I be receiving this now or is there a dead line till it is
Inplmented?thanks Paul.

McKneff

Maybe its just different company policy.

Lucky mates

DCFC79

tay14 wrote: »

I work for a large well known firm on a 40hr a week contract.
I normally work around 50hrs a week sometimes more some times less.Some of my friends at different comapys are now been paid overtime related holiday pay and have receive back payments but when I ask are wages department they no nothing about this new rule??sould I be receiving this now or is there a dead line till it is
Inplmented?thanks Paul.

Sounds like its not a new rule its a case of different firms have various staff benefits in place.

shortcrust

McKneff's right. It's not a 'rule'. Your friends just work for a more generous employer when it comes to holiday pay.

Edit: Maybe I'm wrong (gasp!). I've not read this but it looks like it might be relevant?

https://home.kpmg.com/uk/en/home/insights/2017/08/regular-voluntary-overtime-payments-to-be-reflected-in-holiday-pay.html

k3lvc

I always remember 25yrs ago we used to have a (union negotiated) benefit that paid us in a lump sum the overtime we'd have received were we not on holiday i.e. overtime total divided by 46 weeks to give weekly amount then multiplied by 6. Great while it lasted and a nice bonus particularly for those that had significant shift/overtime payments

Takeaway_Addict

Its a totally counter productive rule when the overtime is voluntary.

If there are 2 or 3 of you doing the extra 10 hours the employer will probably just employ an extra person and stop the overtime.

bugslet

There have been rulings that an employer should pay an average of the previous 12 weeks pay for holiday pay.

Our trade body suggested that it would be wise to implement it as the precedent had been set and it stopped you facing a claim for additional past holiday pay. That was Autumn 2016.

I don't think it's law, but it leaves firms open to being challenged in court.

Poke around the internet a bit and you should find your answer, IIRC a chap brought a case against British gas in Glasgow.

Exit, yes British Gas v Lock. It says it was for commission. As I say our trade body advised us to average pay for holidays and ours is based on regular overtime rather than commission.

Savvy_Sue

If it's a large company, then I'd respectfully suggest that lots of you in a trade union would get further, faster, than one of you on your own.

Dox

All types of overtime, including voluntary, must be included when calculating a worker's statutory holiday pay entitlement, apart from overtime that is only worked on a genuinely occasional and infrequent basis.

Link: http://www.acas.org.uk/index.aspx?articleid=4109

shortcrust

Dox wrote: »

All types of overtime, including voluntary, must be included when calculating a worker's statutory holiday pay entitlement, apart from overtime that is only worked on a genuinely occasional and infrequent basis.

Link: http://www.acas.org.uk/index.aspx?articleid=4109

There's a big difference between the terms 'must' and 'should'. 'Must' implies there is a clear 'rule' or legislation that has to be followed. That's not the case. My understanding is that it would still be up to a court to decide on individual cases, albeit with a very high chance they'd decide in favour of the employee.

Dox

shortcrust wrote: »

There's a big difference between the terms 'must' and 'should'. 'Must' implies there is a clear 'rule' or legislation that has to be followed. That's not the case. My understanding is that it would still be up to a court to decide on individual cases, albeit with a very high chance they'd decide in favour of the employee.

The quote is directly from ACAS's website. Might be worth your while reading the link to learn more.