The Court of Appeal heard the case of British Gas Trading Ltd v Lock this week (11 July 2016), which revolves around the inclusion of commission in holiday pay calculations.
Lock, a sales consultant for British Gas, brought an employment tribunal claim for outstanding holiday pay against the organisation. Lock earned commission on a monthly basis, accounting for around 60% of his overall pay. When calculating his holiday pay, commission was not taken into account.
The case has so far been heard by the Employment Tribunal (ET), Court of Justice of the European Union (CJEU), and the Employment Appeal Tribunal (EAT).
The ET and CJEU held that commission payments should be included in holiday pay calculations. The EAT upheld this decision.
The publication of the Court of Appeal’s judgement on the case is pending.