Holiday pay asked to be repaid by employer

[freddythefox]

Hi all,

 

My employer has now informed me that they believe I'm self employed and are wishing me to repay statutory holiday pay which I have recieved over the past 12 months.

 

They have deducted tax and Ni but are relying on a ruling from the ET that persons carrying out similar roles are self employed. I was issued with a casual worker contract. Can they claim this holiday pay back?

 

Thank you

[honeybee13]

Hello and welcome to CAG.

 

I expect the employment guys will be along later, so this is just my personal thought, but I understood that your employer decided at the outset whether you were employed or not, rather than you.

 

Can you tell us a bit more about how this came about please? What does your contract say about holiday pay?

 

My best, HB

[caro]

If they deduct tax and NI I'd say you are an employee. This link may help.

 

https://www.gov.uk/employment-status/employee

[SabreSheep]

You were issued a casual worker contract, Id say thats a contract of employment. They cannot just change their mind 12 months down the line.

[Ethel Street]

Honeybee's question is important - what does your contract say? Even if it is true that you are self-employed for employment law and/or tax law purposes that doesn't mean an employer is prohibited from paying you holiday pay, only that you have no automatic entitlement to holiday pay. If it ws in the contract I doubt they can ask for it back. They could change it for the future. In theory only with your agreement but as you've only been employed for 12 months there isn't much you could do to stop them.

 

Deducting tax and NI normally suggests employment not self-employment unless you are in the construction industry.

 

Talk to your union if you are in one, or to Citizen's Advice.

 

When you say "a ruling from the ET that persons carrying out similar roles are self employed" was that a ruling about people at your workplace? Or was it a decision about some other company altogether?

[freddythefox]

Thank you all for your help, I checked and holiday pay was in my contract so I feel more confident in that they cannot ask for it back.

 

Thanks again

[caro]

Thank you all for your help, I checked and holiday pay was in my contract so I feel more confident in that they cannot ask for it back.

 

Thanks again

 

Just remind them of it and let us know how it goes.