Should commission payments be included in the calculation of holiday pay?Posted in : First Tuesday Q&A ROI on 3 July 2018
Yes. The method for calculating holiday pay is set down in the Organisation of Working Time (Determination of Pay for Holidays) Regulations 1997 (S.I. No. 475/1997). The determining factor is whether the employee's rate of pay varies or not in relation to work done. This is because holiday pay is calculated according to an employee's normal weekly rate of pay.
Where an employee's rate of pay varies in relation to work done (e.g. if they are paid by commission), the rate of pay shall be the sum that is equal to the average weekly pay (excluding overtime) calculated over a 13 week period that was last worked before the leave.
Where an employee's rate of pay does not vary in relation to work
Already a subscriber?
Click here to login and access the full article.Log in now to read the full article
Don't miss out, start your free trial today!
Are you fully aware of the benefits of Legal-Island's Irish Employment Law Hub? We help thousands of people like you understand how the latest changes in Irish employment law impact your business through a mix of case law analysis and in-depth articles. All delivered right to your inbox.
We help you to understand the ramifications of each important case from Ireland and Europe.
We help you ensure that your organisation's policies and procedures are fully compliant with Irish law.
You will receive regular updates on Irish employment law including case law reviews, legislative changes, topical updates as well as answers to your burning questions through our Q&A feature.
You will have 24/7 access to the Employment Law Hub so you can research case law and HR issues when you need to.
More from the First Tuesday Q&A
Posted in: First Tuesday Q&A ROI on 06 October 2020
Protected Disclosures – A Review of Recent Developments
Posted in: First Tuesday Q&A ROI on 01 September 2020
Posted in: First Tuesday Q&A ROI on 04 August 2020
Mandatory Retirement and Age Discrimination
Posted in: First Tuesday Q&A ROI on 06 July 2020
Redundancy for Employees on Temporary Lay-Off
Posted in: First Tuesday Q&A ROI on 05 June 2020
The information in this article is provided as part of Legal-Island's Employment Law Hub. We regret we are not able to respond to requests for specific legal or HR queries and recommend that professional advice is obtained before relying on information supplied anywhere within this article.