Following the introduction of changes in the law limiting backdated claims for holiday pay to within two years, Tayside solicitors firm Miller Hendry are advising local employers to ensure they know how the new regulations will affect their businesses and the rights of their employees.
These changes come after the government introduced the Deduction from Wages (Limitation) Regulation 2014 which will officially become law on July 1st 2015. What do these new regulations mean for employees and employers?
Alan Matthew, Senior Partner and Employment Law specialist at Miller Hendry explained:
“These new regulations mean that employers will no longer have to consider long-term claims for back-dated holiday pay either in tribunal or civil courts. However it is important that employers know that that, as part of the new regulations, the law explicitly states that the right to paid holiday is not incorporated as a term in employment contracts.”
The new Regulations do not apply to any ET1 claims presented before July 1st, so anyone with a potential long term back-dated pay claim from more than two years ago can still make their claim until that date.
“Ultimately this cap should encourage both employers and employees to keep on top of any back-dated holiday claims. This will avoid anyone getting into a position where the claim escalates to a point where a tribunal or court is necessary.”
For further advice or information about Miller Hendry Solicitors and Estate Agents, visit www.millerhendry.co.uk