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City Commercial Interiors Ltd v Michaels (Unfair Dismissal – Compensation): EAT 12 Jun 2018

Having found the Claimant had been unfairly dismissed from his employment, the ET proceeded to make an award for compensation for a 15-month period, following the effective date of termination. In so doing, it accepted the Claimant’s claim that he was entitled to be compensated for loss of the benefit of 30 days’ paid holiday entitlement (a benefit he had enjoyed when employed by the Respondent but did not receive in his self-employed work undertaken in mitigation). The ET proceeded to make separate awards for loss of earnings and for holiday pay but, in so doing, it wrongly assumed the sum claimed by the Claimant in respect of the former took no account of holiday pay. The Respondent appealed on the basis that this gave rise to double recovery for the loss of paid holiday entitlement.
Held: allowing the appeal
It was apparent that the loss of earnings claimed by the Claimant already took into account his loss of paid holiday entitlement. That being so, there was no need for the ET to make a separate award of compensation under this head; doing so double counted the Claimant’s loss in this regard and given rise to an element of double recovery; the separate award for holiday pay would be set aside.

Citations:

[2018] UKEAT 0040 – 18 – 1206

Links:

Bailii

Jurisdiction:

England and Wales

Employment

Updated: 10 July 2022; Ref: scu.625440

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