The Employment Appeal Tribunal has held that a worker absent for the whole leave year, but who does not submit a request for the annual leave before the leave year ends, does not forfeit his or her entitlement to paid annual leave.
The Employment Appeal Tribunal has held that the tribunal was correct to find that a termination payment labelled as "ex gratia" was not pay in lieu of notice.
The Court of Appeal has held that an employee's contract of employment was terminated by the transfer of pay in lieu of notice into his bank account, even though he did not know at the time that this had happened.
In HM Revenue and Customs v Stringer and others sub nom Commissioners of Inland Revenue v Ainsworth and others [2009] IRLR 677 HL, the House of Lords held that a claim for unpaid holiday due under the Working Time Regulations 1998 can be brought as an unlawful deductions from wages claim under ss.13 and 23 of the Employment Rights Act 1996.
In Schultz-Hoff v Deutsche Rentenversicherung Bund; Stringer and others v Her Majesty's Revenue and Customs Cases C-350/06 and C-520/06 ECJ, the ECJ has held that the Working Time Directive allows member states to prevent workers from taking annual leave during periods of sickness, provided that they are permitted to take it at some other time. If sickness prevents a worker from taking his or her annual leave entitlement, it must be carried over into the next leave year. Workers whose employment is terminated cannot have their payment in lieu of annual leave reduced on account of a period of sickness prior to the dismissal.