Following reports that Unite will not appeal the recent recent holiday ruling (inBear Scotland) as regards the ability of workers to claim for historic underpayments of holiday pay, the Government has today announced how it will intervene to help employers.

Under Regulations laid today (18 December 2014), workers bringing claims for underpayments of holiday pay on or after 1 July 2015 will not be able to recover underpayments for more than two years.

We are yet to see the details of the Regulations and it remains to be seen as to how these Regulations would give greater comfort than the original ruling.

Under the original ruling, even those claims brought before 1 July 2015 must be submitted within three months of the underpayment or the last underpayment in a continuous series of deductions.