The employee in Sood Enterprises v Healey was off work because of illness from July 2010 to June 2011, when he resigned. He claimed payment for accrued but untaken holiday entitlement during 2010 and pro rata for 2011.
The Working Time Regulations (WTR) give 5.6 weeks' leave, of which four weeks is the basic allowance guaranteed under the European Directive. Although the WTR do not allow carry forward for the basic four weeks' entitlement, the EAT, in line with recent European and UK case law, agreed that the claimant was entitled to carry accrued but untaken basic holiday forward from 2010 to 2011, and did not have to make a request for holiday in order to do so.
As for the extra 1.6 weeks, the WTR provide that the additional holiday can be carried forward only with the employer's agreement. So the EAT decided that, because in this case there was no such agreement, the claimant was only entitled to carry forward the minimum entitlement (minus the holiday actually taken before the period of sick leave).
We are still waiting to hear whether the Government will amend the WTR to limit the period over which additional holiday carry forward is allowed - European case law is clear that national law can make conditions about entitlement to carry forward; it does not need to be permitted indefinitely.