The European Court of Justice (ECJ) has ruled that all temporary
workers are entitled to paid annual leave irrespective of the
length of their employment. This decision departs from the previous
UK interpretation of EU regulations regarding working time, which
had only allowed paid holiday where the temporary worker had been
employed for at least 13 weeks.
This condition had meant that millions of temporary employees
could not claim annual paid leave or receive payment in lieu. The
test case brought by Broadcasting and Entertainment Union (BECTU),
has enabled the ECJ to remove this qualifying condition. As a
result, millions of temporary workers will now be entitled to
holiday pay.
However, the CBI has expressed its disappointment with the
ruling since domestic law will now have to be amended to comply
with the ECJ ruling and EU legislation. The amendment process
places further responsibility on the Government and may prove to be
lengthy. The holiday pay ruling may be seen as a further impediment
to employers resulting from EU involvement.
Such developments appear to undermine the Government’s election
manifesto promise to reduce the number of obligations on employers.
Further examples indicating that this has not been achieved include
the recent decision taken by European ministers to pass legislation
forcing companies to consult with their workers on key decisions.
In addition, substantial new anti-discrimination legislation is
being introduced from Europe, which will place heavier burdens on
employers for the foreseeable future.