Deductions from final salary on dismissal

[Sidewinder]

In short, the employer can't withhold salary owed or holiday pay accrued and this needs to be dealt with by a LBA then an ET1 claim being filed. Base your claim on your own calculations if the employer is not playing ball. You have three months to do this so there is still time to wait for the outcome of an appeal - again, include this in the LBA that you will be seeking redess for Unfair Dismissal and Unlawful Deductions from Wages.

[Sidewinder]

 

IGNORE ME PLEASE - I have just found the answer, its a Letter Before Action - which I guess means a trip to the small claims court.

 

Not at all - it is a letter, headed Letter Before Action

Dear Sir,

 

I have not been paid wages or holiday pay totalling £XXX to which I am legally entitled. The breakdown of this sum is shown below.

 

You should be aware that the withholding of accrued holiday pay, salary or other payment due to me is classed a an Unlawful Deduction contrary to Section 13 of the Employment Rights Act 1996. I require payment of the sum shown within ten days of receipt of this letter, or will be forced to make a claim through an Employment Tribunal.

 

Yours faithfully

 

That isn't appropriate procedure for a disciplinary appeal - and if not convenient you should be allowed to reschedule the date or time.

[Sidewinder]

If someone is dismissed for gross misconduct it is classed as summary dismissal and as far as i know you forfeit the right to accrued holiday pay and notice.

 

No - you only forfeit notice pay - accrued holiday pay to the date of termination is a statutory right and cannot be withheld.

[Sidewinder]

Failure to pay holiday pay would be an Unlawful deduction under S.13 of the Employment Rights Act 1996 - Letter before Action to the employer and file a claim with an Employment Tribunal - three months less one day after the pay was due to file the claim.

 

Holiday takes a certain amount of calculation - BHs aren't automatically 'paid' holiday in many organisations. Annual entitlement is 5.6 weeks paid holiday which can include BHs where they are not normally worked and where the employer includes these days off as part of the annual holiday, so it depends on what the arrangements are in a particular workplace.

[Sidewinder]

Any contract which removes statutory rights would be unlawful and needs to be challenged. I would certainly write to HR stating that you have recently been made aware that the employer may have unlawfully withheld accrued holiday pay. Give a breakdown and advise that legal advice suggests that you would have ample grounds to sue if the money is not repaid. See what comes back and take it from there.