Ms E Andreeva v VIP Tour London Limited — 2021

The claimant, Ms E Andreeva, brought claims of unlawful deductions from wages concerning holiday pay and a contractual bonus. The tribunal granted the respondent's late ET3 application and then heard evidence from the claimant and Mr Pestov, the respondent's director. It found that the claimant worked from 15 June 2019 to 22 January 2020 under a contract providing 28 days' annual leave and a discretionary bonus scheme linked to monthly profit above a £2,000 personal performance target.

On holiday pay, the tribunal accepted that the claimant had 15 days' leave for 2019 and found she used 14 days, leaving 1 day unused at the end of 2019. That day was not carried over into the 2020 leave year because clause 9.4 prevented carry-over. However, the tribunal found that she then accrued 2 days' holiday in January 2020, rounded up under clause 9.1, and did not take those days before termination on 22 January 2020. Those 2 days were not paid in her final pay.

The tribunal held that the January 2020 holiday pay was contractually due and that the contract did not authorise the respondent to deduct it from final wages. It therefore found an unauthorised deduction from wages and awarded £245.92 gross, calculated at the accepted gross daily rate of £122.96 for 2 days, subject to tax and National Insurance deductions.

On the bonus claim, the tribunal found that the claimant had not met the contractual conditions for any bonus payment. It accepted Mr Pestov's evidence that the claimant's total profit during employment was £5,758.96, but that no month exceeded the £2,000 target required to trigger a bonus under Schedule 2. It also found that the claimant's belief that she had seen a bonus figure on the CRM system did not establish entitlement, and that no bonus had been declared. Applying the authorities it cited on discretionary bonuses and rationality, the tribunal found the respondent's operation of the scheme rational and dismissed the bonus claim.