Hi All,
I have just attended a law update from our local solicitors who have advised that from the start of April all companies should be applying the overtime and commission rule to holiday pay. We are a manufacturing company and our current payroll system is not designed to cope with this at all.
Up until now I have been waiting for the verdicts and the instruction to act and formally implement the change, and I haven't seen anything so far!
Should I be panicking yet? What are other organisations doing at the moment?
Many thanks in advance,
Laura
Replies
Hi Laura
This is a great question and I suspect there a few responses as many companies are in the same position and they just don't know. I have heard differing advice but certainly the Companies I deal with I advise them to include commission when calculating holiday pay.
In terms of guaranteed and non guaranteed overtime there is some useful guidance here which I hope helps:
http://www.acas.org.uk/holidaypay
I also think that some employers are adopting a 'wait and see' approach to see how many employees make a claim for backdated payments before the 1 July 2015.
How are other Companies approaching this?