Decision Could Have Huge Financial Impact On Other Businesses
A former worker at Pimlico Plumbers has today won his case at the Court of Appeal regarding whether he should be paid thousands of pounds in lost holiday pay.
The Smith v Pimlico Plumbers Ltd  case centres on Gary Smith who was engaged as a self-employed plumber, but later deemed to be a worker.
Mr Smith claimed he was entitled to over £74,000 of holiday pay accrued over his six years of service.
The Employment Tribunal and the Employment Appeal Tribunal had rejected his claims however today’s reversal could result in Mr Smith now be able to claim for all his unpaid leave he took whilst working at Pimlico Plumbers.
The decision could also impact on of the businesses whose workers were previously and incorrectly classed as self-employed.
Expert Opinion“This is a significant ruling not just for Pimlico Plumbers but all businesses with workers who were previously classified as self-employed. As Mr Smith’s case shows the financial cost of missed holiday pay can be significant and I suspect many organisations will be deeply concerned by this ruling.”
Glenn Hayes - Partner & National Head of Employment Law
An in-depth look at the case and decision is available here.