Mr Lock's claim was first heard in the employment tribunal
in 2012 and the outcome has ultimately remained the same at every
turn – commission should be included in the holiday pay
calculation. The finer details of how to calculate this however
When questions arose in the Court of Appeal in relation to how
to factor bonuses and commission payments in to the holiday pay
calculation the court declined to answer them.
What is clear however, is that a worker with normal working
hours' holiday pay should be calculated with reference to their
"normal remuneration" which includes commission payments
that the worker would have received had they been at work, and not
This decision comes after other holiday pay decisions in the EAT
and Northern Irish Court of Appeal that holiday pay should include
non-guaranteed or voluntary overtime, voluntary standby and
voluntary call out payments, because these payments were
intrinsically linked to the performance of the job so formed part
of the employee's "normal remuneration".
That is not to say that the current holiday pay position is set
in stone – the Lock may be re-opened with an appeal to the
Supreme Court – and it is likely that the tribunals will
approach the issues on a case-by-case basis.
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matter. Recipients should not act on the basis of the information
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upon their own particular circumstances.
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