Workers entitlement to holiday pay

Regulation 13(9) of the Working Time Regulations confirms that workers do not have the right to carry over their statutory holiday at the end of the relevant leave year. But what happens to the worker's entitlement to holiday pay under regulation 16 when their right to take the holiday is extinguished? In Fraser v South West London St George's Mental Health Trust 2012, the EAT's view was that workers are only entitled to statutory holiday pay under regulation 16 if they take statutory holiday or give notice to their employer under regulation 15 that they wish to take such holiday. It was held to be contrary to the purpose of the regulations if workers could receive statutory holiday pay regardless of whether they take time off, as this would create a financial incentive for them not to take holiday. Therefore, the current position is that workers who work throughout a leave year and thereby forego that year's statutory holiday entitlement will not receive a payment in respect of that entitlement when their employment terminates. However, there are conflicting cases on this matter which were not overruled by Fraser, and therefore this is an issue that remains open to debate and challenge in the court. The position is likely to be different where workers have not taken their holiday in a leave year owing to maternity or sickness. The opinion of the Advocate General in King v Sash Window Workshop Ltd (C-214/16) was that a worker should also be entitled to carry over their unused holiday where they have been prevented or discouraged from taking it by their employer. It should be remembered though that on termination of employment, a worker is entitled to pay in lieu of unused statutory holiday from their final leave year.