Posted by Gemma Ospedale, Partner
On 1 September 2016 Withy King LLP merged with Royds LLP. The trading name for the merged firm is Royds Withy King. All content produced prior to this date will remain in the name of the firms pre-merger.
Restriction on holiday pay for sick workers
In a case which will hearten employers who are fed up with paying long term sick employees endless amounts of holiday pay, Sood Enterprises Limited v Healy is a case where the EAT has held that the right of workers to carry over annual leave because they were off sick and unable to take their holiday is limited to the basic right to 4 weeks leave under the Working Time Regulations, and there is no automatic right to carry over the additional 1.6 weeks leave unless there is specific agreement to this effect between the worker and employer.
The reason for this is because the European Directive, which is implemented in the UK by the Working Time Regulations, only provides for a basic entitlement to 4 weeks leave with no carry-over of leave into the next year if the employee cannot take it because of illness. So unless a contract provides for the carry-over of annual leave, the most a sick employee or worker can claim is the statutory 4 weeks.
This legal update is provided for general information purposes only and should not be applied to specific circumstances without prior consultation with us.
For further details on any of the issues covered in this update please contact Gemma Ospedale, Partner in Employment on 020 7583 2222
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