Holiday allowance:

The annual leave is for the purpose of recreation and the remuneration/salary must continue to be paid during the leave. According to Section 11 (2) of the Federal Holidays Act, the holiday pay is even to be paid out before the start of the holiday.

In addition to holiday pay, additional remuneration is often paid in the form of holiday pay. This term is not clearly regulated in the law. As a rule, the payment of vacation pay is based on a voluntary service by the employer or on collective or individual agreements. According to the case law of the Federal Labor Court (judgment of March 28, 2000 -1 AZR 366/99), a claim to vacation pay can also be derived from a company practice. This means that a binding effect for the future can be assumed if vacation pay is granted several times (at least three times) without effective declarations of reservation by the employer. In detail, case law assumes that multiple services provided by the employer at least three times in a row can be understood as an offer to continue providing such services in the future. This offer would be accepted by the employee simply by accepting the service.

If you have any questions about holiday pay, contact our law firm and arrange one meeting

or call us on the phone number02366-94066 02.