British Airways PLC v De Mello & Ors (WORKING TIME - holiday pay - normal pay - WAGES - time limits - series of deductions) [2024] EAT 53 (19 April 2024)

British Airways PLC v De Mello & Ors (WORKING TIME - holiday pay - normal pay - WAGES - time limits - series of deductions) [2024] EAT 53 (19 April 2024)

The Employment Tribunal erred in law by misapplying the legal test for inclusion of meal allowances in holiday pay, incorrectly allocating the burden of proof to the employer, and failing to weigh all relevant facts to determine whether meal allowances were genuinely and exclusively intended to cover costs or were part of normal remuneration. The matter is remitted for reconsideration applying the correct legal principles.

Citation
[2024] EAT 53
Parties
Appellant/respondent: British Airways PLC; Respondent/appellant: Ms T De Mello; Respondent/appellant: Mr E Ardabili; Respondent/appellant: Ms D O'Dwyer; Respondent/appellant: Mr V Texeira; Respondent/appellant: Mr A Duffy; Respondent/appellant: Mrs O Kerr
Jurisdiction
United Kingdom
Judgment Date
19 April 2024
Procedural Posture
Employment Appeal Tribunal Appeal / Judgment on Appeal From Employment Tribunal
Outcome
Appeal allowed; matter remitted to the Employment Tribunal for reconsideration.
Legal Topics
Holiday Pay, Working Time, Normal Remuneration, Unlawful Deduction From Wages, Time Limits, Series of Deductions
Employment Law Labour Law European Union Law Holiday Pay Working Time Normal Remuneration Unlawful Deduction From Wages Time Limits +1 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 15 Party arguments 2
Sign in to unlock

Parties

British Airways PLC

Appellant/respondent

Ms T De Mello

Respondent/appellant

Mr E Ardabili

Respondent/appellant

Ms D O'Dwyer

Respondent/appellant

Mr V Texeira

Respondent/appellant

Mr A Duffy

Respondent/appellant

Mrs O Kerr

Respondent/appellant

Procedural Posture

Employment Appeal Tribunal Appeal / Judgment on Appeal From Employment Tribunal

Legal Issues

  1. 1 Whether meal allowances should be included in statutory holiday pay calculations for British Airways cabin crew under EU and UK law
  2. 2 What is the correct legal test for determining if an allowance is part of 'normal pay' or an expenses payment
  3. 3 Who bears the burden of proof regarding the classification of allowances

Ratio Decidendi

The Employment Tribunal erred in law by misapplying the legal test for inclusion of meal allowances in holiday pay, incorrectly allocating the burden of proof to the employer, and failing to weigh all relevant facts to determine whether meal allowances were genuinely and exclusively intended to cover costs or were part of normal remuneration. The matter is remitted for reconsideration applying the correct legal principles.

Court Disposition

Appeal allowed; matter remitted to the Employment Tribunal for reconsideration.

Orders

  • The Employment Tribunal's decision regarding meal allowances is set aside.
  • The issue of whether meal allowances are to be included in holiday pay is remitted for reconsideration by the Employment Tribunal applying the correct legal test.