Claimant v Metroline Travel Limited
Outcome
Individual claims
The tribunal found the respondent calculated holiday pay correctly in accordance with the Working Time Regulations 1998. The claimant's first 20 days of holiday were properly calculated using a 52-week average including overtime, while days 21-28 excluded voluntary overtime as required by the regulations. The one-off payments (retention bonus and safe driving award) were correctly excluded from the calculation as they did not form part of normal pay. The claimant failed to establish that any holiday pay was owed.
Facts
The claimant, a bus driver employed since May 2021 by Metroline Travel Limited, claimed underpayment of holiday pay. He argued that two one-off payments (a £1000 retention bonus and £5 safe driving award) should be included in the 52-week calculation used to determine holiday pay, and that all 28 days of holiday should be calculated at the same rate. The respondent calculated the first 20 days using a 52-week average including overtime but excluding irregular payments, and days 21-28 at basic rate excluding voluntary overtime, in accordance with the Working Time Regulations.
Decision
The tribunal dismissed the claim, finding that the respondent correctly applied the Working Time Regulations 1998. The first 20 days of holiday were properly calculated on a 52-week average including overtime, while days 21-28 correctly excluded voluntary overtime. The one-off payments were irregular and did not form part of normal pay, so were properly excluded from calculations.
Practical note
Employers may lawfully apply different calculation methods for the first 20 days (including voluntary overtime) versus days 21-28 (excluding voluntary overtime) of statutory holiday entitlement, and one-off irregular payments need not be included in holiday pay calculations.
Legal authorities cited
Statutes
Case details
- Case number
- 2302095/2024
- Decision date
- 10 June 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- transport
- Represented
- Yes
- Rep type
- solicitor
Employment details
- Role
- bus driver
- Salary band
- £30,000–£40,000
- Service
- 4 years
Claimant representation
- Represented
- No