CIPP Payroll: need to know 2018-2019

The government’s response to the Taylor Review of Modern Working Practices included a consultation to enhance and protect the rights for Agency Workers. Recommendations included:

• provide all 1.2 million agency workers with a clear breakdown of who pays them and any costs or charges deducted from their wages • consider repealing laws allowing agencies to employ workers on cheaper rates • enforce vulnerable workers’ holiday and sick pay for the first time • give workers a list of day-one rights including holiday and sick pay entitlements • introduce a new right for all workers to request a more stable contract to provide greater financial security for those on flexible contracts • introduce a new naming scheme for employers who fail to pay employment tribunal awards to quadruple employment tribunal fines for employers showing malice, spite or gross oversight to £20,000 and considering increasing penalties for employers who have previously lost similar cases. Anyone with a complaint or query about an employment agency or about the law applying to agencies should contact the Employment Agency Standards Inspectorate by email at eas@beis.gov.uk, by the online form on GOV.UK – or contact the Acas helpline on 0300 123 1100.

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Annual leave accrual during parental leave 9 October 2018

The European Court of Justice has held that annual leave does not accrue during parental leave when the contract of employment is suspended.

Does annual leave accrue during parental leave, when the contract of employment is suspended?

No, held the European Court of Justice in Tribunalul Botosani v Dicu.

The employee, Ms Dicu, was entitled to up to 35 days of annual leave, based upon the number of days she had worked that year. She took a period of maternity leave, then parental leave, and then annual leave. Her employer refused to grant her 5 days leave on the grounds that this had not accrued as parental leave was not a period of actual work. The CJEU considered both the Working Time Directive and the Parental Leave Directive . For some purposes, the right to annual leave presupposes that the worker was actually at work but for others (such as sick leave or maternity leave) it doesn't. However, sick leave is usually not foreseeable, and beyond the control of the worker, and maternity leave protects a special situation and relationship. Further, the Parental Leave Directive enabled Member States to define the status of the employment contract during periods of parental leave, and in Romania, the contract was suspended. Therefore, the CJEU held that parental leave was not a period of work for the purposes of the Working Time Directive.

With thanks to Daniel Barnett's Employment Law Bulletin for its coverage of this case.

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Payroll: need to know

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