Landmark ruling could allow more self-employed workers holiday pay

The result of a two-year legal battle between housebuilder Redrow and Ucatt could mean thousands of self-employed workers could now claim holiday pay.

The Court of Appeal this week refused Redrow leave to appeal against a ruling made in favour of the union last October. The employment tribunal said that contracts signed by two bricklayers in East Yorkshire that described them as self-employed could not prevent them from claiming holiday pay, because although they contained substitution clauses, there was no serious possibility of other people doing the work

The similar substitution clauses, which attempt to show that workers are self-employed, is widely used, particularly among housebuilders.

In 2007, the employment tribunal ruled in the union's favour and then again, nine-months later, upheld the original decision. The Court of Appeal refused Redrow leave to appeal.

Alan Ritchie, general secretary of Ucatt described the case as a “massive victory”.

“It should pave the way for thousands of other construction workers to claim the holiday pay they are entitled to receive,” he said.

“In virtually every other industry the payment of holiday pay is not an issue but in construction companies go to extraordinary lengths to try to deny workers the most basic of benefits.”