In Lyddon v Englefield Brickwork Ltd, an employee who was paid rolled-up holiday pay sought to claim unpaid holiday pay from his employer on termination. Mr Lyddon worked for Englefield Brickwork for 17 weeks and took two weeks’ holiday during that time, for which he was not paid. Prior to starting work, he was told he would be paid £135 per day and that this would include holiday pay. He was not provided with a written contract or any written particulars of employment and was not told prior to starting work how the holiday pay would be calculated. His weekly pay packet did, however, include a statement of how much holiday pay was added. On termination, Mr Lyddon brought a claim in the Tribunal for two weeks’ holiday pay. The Tribunal rejected his claim. In dismissing his appeal, the EAT determined that the fundamental question was whether there was a consensual agreement identifying a specific sum attributable to holiday. It found that the payslips clearly and transparently identified the sums attributable to holiday. Englefield Brickwork was, therefore, entitled to set off the payments made against holiday pay claimed, and Mr Lyddon was not entitled to any further pay. Employers who pay rolled-up holiday pay in a less transparent manner risk not being able to offset. (The EAT’s decision failed to provide guidance on the ECJ’s decision last year that the use of rolled-up holiday pay is unlawful.) To minimise the risk of future claims, employers who continue to pay rolled-up holiday pay are recommended to take steps to renegotiate employment contracts with a view to eliminating this practice as soon as possible.