ECJ adviser’s opinion could open doors to holiday pay claims

Legal scales

An opinion by a key adviser to the European Court of Justice could open the door to a wave of retrospective holiday pay claims.

Advocate-general Evgeni Tanchev said workers should be able to claim compensation for all annual leave they were incorrectly blocked from taking during an employment relationship.

His opinion came in response to questions asked by the Court of Appeal of England and Wales in connection with a case brought by a Mr King against a firm called Sash Window Workshop.

An ECJ statement said Mr King started working as a salesman for Sash Window Workshop in 1999. “He was not paid for leave taken and his contract was silent on the question of paid leave,” said the statement.

“Mr King worked continuously for SWW until … October 2012.”

Later that year he brought proceedings against the firm to an employment tribunal, claiming, among other things, that he was entitled to paid leave that was not provided.

“In today’s opinion, advocate-general Evgeni Tanchev considers that it is incompatible with EU law to require a worker to take leave first before being able to establish whether he is entitled to be paid for it,” said the ECJ.

It added: “The advocate-general concludes that, upon termination of the employment relationship, a worker is entitled to an allowance in lieu of paid annual leave that has not been taken up until the date on which the employer made available to the worker an adequate facility for the exercise of the right to paid annual leave. 

“If this never occurred, then an allowance is due to cover the full period of employment until termination of the employment relationship.”

The advocate-general’s opinion is just a guide to the judges in the European court, who will now deliberate. They will interpret the law but it will remain up to the English courts to rule in the particular dispute.

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