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Firms must include commission in holiday pay, EU rules

23 May 2014 Last updated at 14:59 BST

The European Court of Justice has ruled that employers must include commission when they calculate holiday pay.

The new rules mean any worker whose pay is either wholly or partly in commission will be entitled to have this reflected in their holiday pay when they take annual leave.

Ben Turner, director of the Institute of Sales Marketing Management, said that although the rules could cost firms extra, it was worth it to retain top sales staff.

He told BBC Radio 5 live's Adam Parsons: "Sales leaders have to make sure those guys are looked after during their holiday."

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