When the vacation year changes, there are several important factors you need to be aware of as an employer. This article provides a thorough overview of topics that typically raise questions and cause confusion as the new vacation year approaches. Read on for a quick and informative summary of the key rules and procedures regarding vacation taking, vacation transfer, and handling illness during vacation. Understand how concurrent vacation works and the requirements for notifying about summer vacation. Learn about vacation days off and how they differ from regular vacation days. Ensure you are well-prepared to advise your employees correctly and comply with current legislation.
Concurrent holiday
Concurrent holiday means that employees accrue and take holiday simultaneously. The holiday year runs from September 1 to August 31, during which employees accrue 2.08 holiday days per month, which can be used starting the following month. In total, employees will accrue 25 paid holiday days. These terms apply to employees regardless of whether they are employed full-time or part-time. Holiday days can be taken during the holiday year and in the subsequent four months until December 31, 2025, also known as the holiday period.
Transferring holiday
According to the Holiday Act, employees are entitled to take 20 holiday days before the end of the holiday year, i.e., within 12 months. By the end of the holding period (December 31), employees should have taken 20 holiday days. If employees have been unable to take the last five holiday days (also called the fifth holiday week), these can be carried over to the next holiday year.
However, please consider any other agreements, such as collective agreements, that may regulate the terms and conditions for taking holidays. The fifth holiday week will be automatically paid out by March 31. If employees wish to transfer the fifth holiday week to a new holiday period, they must have a written agreement in place by December 31 at the latest. The transferred fifth holiday week must be taken before taking any newly accrued holiday.
If employees have not been prevented from taking holiday but still have not taken all 20 holiday days during the holiday period, these days will be settled by the holiday fund, and employees will not be compensated.
Extra holiday entitlement
The Holiday Act does not cover extra holiday entitlement, which is handled differently. Employees may be entitled to extra holiday entitlement according to a collective agreement or an individual agreement. Therefore, the processing of extra holiday entitlement will be detailed in the collective agreement, a personnel policy, or the individual agreement with the employee.
Illness at the time of holiday
If employees fall ill before the start of their holiday, they are not obliged to take the holiday. It is important that employees substantiate that the illness is a hindrance. If employees recover within the planned holiday period, they must report fit for duty and indicate whether they intend to take the rest of their holiday or return to work.
If employees become ill during their holiday, they may be entitled to compensatory leave, provided the following conditions are met:
- The duration of the illness exceeds five sick days (also called the waiting period; the days do not have to be continuous but can be split into different holidays).
- Employees must report their illness to the employer on the first day of illness.
- Employees must pay for the medical certificate documenting the illness.
If less than 25 holiday days have been accrued, employees are entitled to compensatory holiday after a proportionately smaller number of days. The calculation basis for the days for which employees receive compensatory holiday is the number of accrued holiday days multiplied by 1/5.
If, due to special circumstances, employees are prohibited from taking accrued paid holiday before the end of the holiday period, up to four weeks of annual paid holiday is transferred to the subsequent holiday period. In the event of legal holiday hindrances, the holiday is automatically transferred to the following year.
You can read more about the rules and regulations concerning ilness before and during holiday, in this article.
Notice of summer holiday
If planning a summer holiday, employees must provide three months’ notice of the intended summer holiday, in accordance with the Holiday Act's rules for main holidays. The main holiday (15 days) is scheduled between May 1 and September 30. If employees have accrued less than 15 days' holiday, the entire accrued holiday is the main holiday.
According to paragraph 3 (2) of the Holiday Act, employers and employees can agree to enter into an individual agreement on a shorter notice period in a specific situation. The condition is that the main holiday is continuous and a minimum of 10 days.
Need help?
If you, as an employer, need advice about holidays or other employee/HR-related matters, please feel free to contact us.
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