Workers' rights to holiday pay – what could this mean for you?

Employers should review arrangements in place with "self-employed" individuals who may be workers for the purposes of the Working Time Regulations 1998.

Where holiday pay has not been paid, carry out an audit to determine the potential extent of any possible liability. However, any documents recording the conclusions and findings of the audit should be handled and prepared with care since if any claim were brought these documents would, unless the circumstances of the documents' preparation allowed for "legal privilege", be disclosable.

Consider making a payment in respect of leave entitlement in respect of the current year, to break the series of deductions and ability to "leapfrog" claims back to the beginning of the assignment or 1 October 1998 whichever is the latest.