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Unison wins European legal victory for commission-based pay during holidays

Court of Justice of the European Union rules that employers not paying usual commission, overtime and bonuses as part of holiday pay are in breach of European Working Time Directive

Public service union Unison yesterday won a landmark legal victory paving the way for workers on commission-based pay to be entitled to holiday pay that includes their commission.

The Court of Justice of the European Union (CJEU) ruled that workers must receive holiday pay which includes both commission and basic pay.

The judgment has important implications for all workers whose pay includes supplements such as commission, bonuses and overtime.

British Gas, the employers in the case, and which made £2.7bn profit last year, fought Unison’s claim.

The CJEU ruled that the cut in holiday pay could deter workers from taking holidays, breaching the European Working Time Directive.

Unison general secretary Dave Prentis said: “This is an extremely important decision that will assist workers across the European Union to argue that they should be entitled to their normal pay, including any commission payments they normally receive, for periods of annual leave.”

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