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Deceased workers are entitled to be paid in lieu of untaken holiday

The European Court of Justice has held, that if a worker has accrued but untaken statutory annual leave entitlement at the time of their death, their estate is entitled to a payment in lieu in respect of the untaken holiday. 

Where an employment relationship ends because of a worker's death, a payment in lieu is "essential to ensure the effectiveness of the entitlement to paid annual leave". (Bollacke v K + K Klaas & Kock B.V. and Co. KG C-118/13.)

For more information, please contact Nick Rowe at Maitland Walker.