Facts
The dispute opposes A. AG (the employer) and B. (the employee). The employee was hired on 1 September 2003 as a full-time packaging worker. The employment contract provided for an hourly wage of 18 francs brutto, as well as a holiday pay of 8.33 % (then 10.64 % from January 2019). The employer terminated the employment contract on 16 March 2020 due to the Covid-19 pandemic and the company's reorganization. The employee requested payment of various amounts, including a holiday pay of 17,340.70 francs brutto.
The court of first instance partially admitted the employee's request, condemning the employer to pay the holiday pay. The employer appealed, but the cantonal court dismissed the appeal. The employer then filed a civil law appeal with the Federal Court.
Considerations
The Federal Court examined the question of whether holiday pay could be included in the current salary for a full-time employment. It recalled that Art. 329d of the Code of Obligations (CO) provides that the employer must pay the employee the salary corresponding to the holidays, as well as a compensation for untaken holidays.
The Federal Court considered that the case law admitted an exception to this rule for cases of part-time or irregular work, but that this exception was not justified for full-time employment. It also emphasized that the practical difficulties invoked by the employer to justify the inclusion of holiday pay in the current salary were not founded, as modern time…