Advice Needed: Outstanding Holiday Pay for Deceased Parent

Hi everyone,

I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

  • Employees on long-term sick leave are entitled to accrue holiday entitlement.
  • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

Could anyone advise on:

  1. How I can escalate this issue with the employer to get a resolution?
  2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

I would really appreciate any guidance on how to move forward.

Thank you in advance for your help!

«1

Comments

  • Undervalued
    Undervalued Posts: 9,470 Forumite
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    edited 4 December 2024 at 10:29AM
    fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    That applies to the minimum statutory holiday entitlement (5.6 weeks or 28 days per year if full time).Pay for any contractual holiday over and above this would depend on her contract of employment and may well be excluded.

    There is no ombudsman as such for employment matters but you could speak to ACAS who may be willing to speak informally to the employer and remind them of the law.

    Beyond that your only option is to sue in the county court. Obviously this is more complicated than it would have been if the employee was still alive and pursuing the matter themselves.

    Was a solicitor involved in dealing with her estate or are you "going it alone"?
  • DE_612183
    DE_612183 Posts: 3,425 Forumite
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    The amount owing is due to the estate - are you the executor?

    What The Estate should do is advise the employer they are collecting money due into the estate - if you know how much is it that would make it easier to send a letter requesting the payment - if they don't pay then you can take them to an employment tribunal ( however I think there are time limits on this which may have passed ).
  • Undervalued
    Undervalued Posts: 9,470 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    DE_612183 said:
    The amount owing is due to the estate - are you the executor?

    What The Estate should do is advise the employer they are collecting money due into the estate - if you know how much is it that would make it easier to send a letter requesting the payment - if they don't pay then you can take them to an employment tribunal ( however I think there are time limits on this which may have passed ).
    There are, three months with very few exceptions so that ship has sailed.

    As I mentioned earlier the county court remains an option. Six year time limit (five in Scotland).
  • Thank you for your response and advice.

    Yes, I am the executor of my mother’s estate. I have already contacted the employer to request the payment, but so far, I have not received a response to my follow-up emails.

    I will send another letter to formally advise them that I am collecting money owed to the estate and will include the relevant legal references to accrued holiday pay under the Working Time Regulations 1998.

    Unfortunately, I am unsure of the exact amount owed, as the employer has not provided this information. Would you recommend explicitly requesting a breakdown of the accrued holiday entitlement in the letter?

    Regarding the employment tribunal, I am concerned that the time limits may have passed, as my mother passed away in April 2022. If this is the case, do you know of any alternative actions I could take to pursue the payment?

    Thank you again for your guidance—I truly appreciate it.

  • DE_612183
    DE_612183 Posts: 3,425 Forumite
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    fernio95 said:

    Thank you for your response and advice.

    Yes, I am the executor of my mother’s estate. I have already contacted the employer to request the payment, but so far, I have not received a response to my follow-up emails.

    I will send another letter to formally advise them that I am collecting money owed to the estate and will include the relevant legal references to accrued holiday pay under the Working Time Regulations 1998.

    Unfortunately, I am unsure of the exact amount owed, as the employer has not provided this information. Would you recommend explicitly requesting a breakdown of the accrued holiday entitlement in the letter?

    Regarding the employment tribunal, I am concerned that the time limits may have passed, as my mother passed away in April 2022. If this is the case, do you know of any alternative actions I could take to pursue the payment?

    Thank you again for your guidance—I truly appreciate it.

    give them 14 days or advise you will implement court action ( you'll need to know how much though )
  • fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    That applies to the minimum statutory holiday entitlement (5.6 weeks or 28 days per year if full time).Pay for any contractual holiday over and above this would depend on her contract of employment and may well be excluded.

    There is no ombudsman as such for employment matters but you could speak to ACAS who may be willing to speak informally to the employer and remind them of the law.

    Beyond that your only option is to sue in the county court. Obviously this is more complicated than it would have been if the employee was still alive and pursuing the matter themselves.

    Was a solicitor involved in dealing with her estate or are you "going it alone"?

    Thank you for your response—it’s very helpful.

    I understand now that the statutory entitlement (5.6 weeks) is covered under the Working Time Regulations, and I’ll make sure to clarify whether the outstanding amount relates to just the statutory holiday or any additional contractual holiday in her employment terms. I’ll ask the employer for a breakdown of what they have calculated, if anything.

    I appreciate the suggestion to contact ACAS. I’ll reach out to them to see if they can assist informally by reminding the employer of their obligations. If that doesn’t work, I’ll consider taking the matter to the county court, although I recognize this could be more complicated due to the circumstances.

    Regarding her estate, I’ve been handling it myself without a solicitor, but I’m beginning to wonder if it might be worth consulting one for this issue, especially if it progresses to legal action. Would you recommend engaging a solicitor at this point, or should I exhaust my current options first?

    Thanks again for your advice—I really appreciate your insights.

  • DE_612183
    DE_612183 Posts: 3,425 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    edited 4 December 2024 at 10:56AM
    fernio95 said:
    fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    That applies to the minimum statutory holiday entitlement (5.6 weeks or 28 days per year if full time).Pay for any contractual holiday over and above this would depend on her contract of employment and may well be excluded.

    There is no ombudsman as such for employment matters but you could speak to ACAS who may be willing to speak informally to the employer and remind them of the law.

    Beyond that your only option is to sue in the county court. Obviously this is more complicated than it would have been if the employee was still alive and pursuing the matter themselves.

    Was a solicitor involved in dealing with her estate or are you "going it alone"?

    Thank you for your response—it’s very helpful.

    I understand now that the statutory entitlement (5.6 weeks) is covered under the Working Time Regulations, and I’ll make sure to clarify whether the outstanding amount relates to just the statutory holiday or any additional contractual holiday in her employment terms. I’ll ask the employer for a breakdown of what they have calculated, if anything.

    I appreciate the suggestion to contact ACAS. I’ll reach out to them to see if they can assist informally by reminding the employer of their obligations. If that doesn’t work, I’ll consider taking the matter to the county court, although I recognize this could be more complicated due to the circumstances.

    Regarding her estate, I’ve been handling it myself without a solicitor, but I’m beginning to wonder if it might be worth consulting one for this issue, especially if it progresses to legal action. Would you recommend engaging a solicitor at this point, or should I exhaust my current options first?

    Thanks again for your advice—I really appreciate your insights.

    A letter from a solicitor is always good to give an organisation a nudge - hopefully they'll realise that by paying out it will be cheaper than engaging their own solicitor, of course that depends on the size of the organisation.
  • Undervalued
    Undervalued Posts: 9,470 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 4 December 2024 at 11:45AM
    fernio95 said:
    fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    That applies to the minimum statutory holiday entitlement (5.6 weeks or 28 days per year if full time).Pay for any contractual holiday over and above this would depend on her contract of employment and may well be excluded.

    There is no ombudsman as such for employment matters but you could speak to ACAS who may be willing to speak informally to the employer and remind them of the law.

    Beyond that your only option is to sue in the county court. Obviously this is more complicated than it would have been if the employee was still alive and pursuing the matter themselves.

    Was a solicitor involved in dealing with her estate or are you "going it alone"?

    Thank you for your response—it’s very helpful.

    I understand now that the statutory entitlement (5.6 weeks) is covered under the Working Time Regulations, and I’ll make sure to clarify whether the outstanding amount relates to just the statutory holiday or any additional contractual holiday in her employment terms. I’ll ask the employer for a breakdown of what they have calculated, if anything.

    I appreciate the suggestion to contact ACAS. I’ll reach out to them to see if they can assist informally by reminding the employer of their obligations. If that doesn’t work, I’ll consider taking the matter to the county court, although I recognize this could be more complicated due to the circumstances.

    Regarding her estate, I’ve been handling it myself without a solicitor, but I’m beginning to wonder if it might be worth consulting one for this issue, especially if it progresses to legal action. Would you recommend engaging a solicitor at this point, or should I exhaust my current options first?

    Thanks again for your advice—I really appreciate your insights.

     I think it depends of how much holiday and therefore money is involved. If you go to court (and win) you can reclaim the court fee and certain other expenses from the employer but not normally your legal fees.

    As has been said just sending a solicitor's letter might (well) do the trick. However if not then costs could add up quickly. Many will offer either a free half hour meeting or a reduced fixed fee. If you have all the information clearly set out before the meeting half an hour can cover quite a lot of ground and give you a good idea of where you are going. Don't launch county court proceedings yourself unless you decide, for whatever reason, not to use a solicitor.

    ACAS is not the same as legal advice but it is free and worth a call first either way.

    Do you have any legal expenses insurance or legal help line, perhaps as part of your house insurance or membership of a trade union or professional body?
  • Jude57
    Jude57 Posts: 702 Forumite
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    fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    Just to query whether your late mother's annual leave year definitely ran from 1st January to 31st December? Some employers, including several of my former employers, ran from 1st April to 31st March. Could that be why the employer isn't agreeing that a payment is due?

    You could try contacting the senior person in the organisation, the Chief Executive or similar, and put the issue on their radar in the terms suggested. Often this is all it takes to get some response, whether it will be a satisfactory response, I can't say.
  • Marcon
    Marcon Posts: 13,772 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper Combo Breaker
    fernio95 said:

    Hi everyone,

    I’m seeking advice regarding an issue with my late mother’s former employer and their payroll department. My mother sadly passed away in April 2022, and I have been trying to resolve an issue with unpaid holiday pay that should have accrued in 2021 and from January to April 2022.

    The employer initially claimed that the holiday pay didn’t need to be paid because she was receiving PHI (permanent health insurance) payments. However, after reviewing employment law, including the Working Time Regulations 1998, I found that:

    • Employees on long-term sick leave are entitled to accrue holiday entitlement.
    • Case law establishes that holiday pay owed at the time of an employee's death passes to their estate.

    I recently sent follow-up emails but have received no response. I’m at a loss as to what to do next.

    Could anyone advise on:

    1. How I can escalate this issue with the employer to get a resolution?
    2. If there is an ombudsman or regulatory body I can approach to make a formal complaint?

    I would really appreciate any guidance on how to move forward.

    Thank you in advance for your help!

    Just to be sure...have you checked that she was still an employee and receiving PHI payments (as salary) through her employer? It's possible to have personally funded PHI arrangements whereby someone ceases to be an employee but is entitled to PHI payments under the terms of what is effectively their own (rather than the employer's) PHI policy.
    Googling on your question might have been both quicker and easier, if you're only after simple facts rather than opinions!  
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