Results-based commission must be included in holiday pay
Does notional commission need to be included in the holiday pay of an employee who has not been able to earn commission because they were on leave? And were the 2014 cases on the inclusion of non-guaranteed overtime in holiday pay wrongly decided?
William Downing, partner in our Employment Team considers the decision in British Gas Trading Ltd v Lock, where, upholding earlier decisions of the Employment Tribunal and EAT, the Court of Appeal held that when calculating holiday pay, results-based commission must be included.
This article was first published in CIPD's People Management Daily and you can view the full article here.