How are annual leaves regulated in Germany?

In Germany, annual leave (referred to as "holiday" or "vacation," 'Urlaub') is governed by the Federal Holiday Act (Bundesurlaubsgesetz, or BUrlG). Here is a concise overview of the key rules and entitlements regarding employee holidays.

Entitlement

Employees working full-time are entitled to a minimum of 24 working days of paid annual leave per year, based on a six-day workweek. If an employee works a five-day workweek (e.g., Monday to Friday), the minimum entitlement is 20 days per year. Many employers offer more generous leave through collective agreements or individual contracts.

Accrual and Payment

Annual leave accrues on a pro-rata basis, meaning employees may not have their full entitlement in the first year of employment. While on vacation, employees receive their regular salary, ensuring their income is unaffected.

Scheduling and Notice

The timing of annual leave is typically negotiated between the employee and the employer, who should consider the employee's need for rest but has the final say. Employees are required to provide notice as outlined in their employment contract, and employers may deny requests if it disrupts business operations.

Public Holidays

Public holidays that occur during annual leave are not counted as vacation days, allowing employees to take those days off separately.

Carryover Rules

General Rule: Employees must use their full leave within the calendar year (by December 31st). Employers are required to remind employees to take their leave in time.
Carryover: In cases where employees cannot take their leave due to operational needs or personal reasons like illness, unused leave can be carried over to March 31st of the following year. Any unused leave beyond this date is forfeited unless otherwise agreed in the employment contract.
Long-Term Illness Exception: For employees on long-term sick leave, the carryover period may extend up to 15 months, allowing leave to be used by March 31st of the second year following the leave year.

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