Vacation right

Vacation right is different between the public labour market (employees of the government, municipals or their intuitions) and the general labour market

  • Hjartaarfi: Brynja Hrafnkelsdóttir
    Mynd: Brynja Hrafnkelsdóttir

Here you will find information about the right for Vacation leave and Vacation pay according to the law and the collective agreements of FÍN.

Vacation right and the right for vacation pay.

In general, the Vacation rights are twofold, on one hand it's the right to leave for vacation (Vacation leave) and on the other hand the right of pay during the vacation (Vacation pay). Minimum Vacation leave is 24 days however the Vacation pay is dependent on the accumulation of the right based on employment. Employee collects 2 days for every one month of employment during the accumulation period. 

If an employee has only worked for 6 months, he / she is entitled to at least 12 days of payed vacation and 12 days on vacation leave without payment,  a total of 24 days on vacation every 12 months.

Accumulation period

Only weekdays are counted in Vacation rights. Minimum Vacation leave is 24 days however the Vacation pay is dependent on the accumulation of the right based on employment. Employee collects 2 days for every one month of employment during the accumulation period, May-April.

Vacation right

Vacation right for public labour market

Minimum Vacation right for the public labour market, after 30. of March 2020, is 30 days (240 hours) based on full year employment. For employment part time or part of a year the employee the accumulation will be based on employment percentage and employment period. 

Prior, vacation rights were based on physical age of each employee, see below. 

Age  Vacation days  Vacation hours
 Below 30 years  24  192
 30 years and up  27  216
 38 years and up  30  240

Accumulation period

During the accumulation period, 1. of May to 30. of April the year after, employees collect Vacation rights for the upcoming Vacation period, generally from beginning of May to middle of September, and Vacation right for the following year. Vacation leave can exceed the days of Vacation pay but that will conclude in unpaid period. 

Extension of Vacation leave

Members on the public labour market have the right of up to 30 day of vacation, there of 15 days (120 hours) continuous during the Vacation period, if possible. Members working for the municipals shall have the right for at least 14 days continuous vacation. If vacation, fully or partly is taken outside the Vacation period, due to written request by superior, that part of member vacation is extended by 25%. 

Illness/sickness during Vacation leave

If employee gets ill/sick during Vacation leave the period of illness/sickness does not include in the Vacation leave given that the employee shows with verifiable manner (such as doctors note) that she/he wasn't able to have full use of the Vacation leave due to illness/sickness. Employee must inform employer / superior without a delay and with verifiable manner of the situation.

Delay of vacation

Delay of vacation is prohibited, except: by written request of superior, due to maternity/paternity leave or due to illness/sickness which leads to the conclusion that member will not be able to utilize hers/his vacation during current Vacation period. Older accumulated and unused vacation days, due date 1. of May or older, up to 60 days, will expire 30. of April 2023.

Vacation during termination notice

During termination notice an employer cannot unilaterally decide that part of the period shall be taken as a Vacation leave. However, employee can agree to such arrangement. If no such arrangement is made any remaining Vacation rights shall be settled in the end of the notice period.

Accumulation during Maternity/Paternity leave

Maternity / Paternity leave counts toward employment related rights, such as extension of Vacation right, age related rises, sick leave and notice periods. Maternity / Paternity leave counts as part of accumulation period for calculation of Vacation rights.


Private labour market

Minimum Vacation right is 24 days based on full year employment. For employment part time or part of a year the employee shall receive 16 hours for every month of employment (based on full month employment).

Additional Vacation right are based on employment in specific profession or employment with certain employer. The additional right can be utilized on the next Vacation period after the prerequisite are met. The additions are as followed:

Prerequisite  Vacation days Vacation hours
Minimum vacation right  24  192
After 5 years in same profession  25  200
After 5 years of employment  27  216
After 10 years of employment  30  240

Additional acquired rights from former employer is restored after 3 years of employment with current employer, given that the right is confirmed.

Accumulation period

During the accumulation period, 1. of May to 30. of April the year after, employees collect Vacation rights for the upcoming Vacation period, generally from beginning of May to middle of September, and Vacation right for the following year. Vacation leave can exceed the days of Vacation pay but that will conclude in unpaid period. 

Extension of Vacation leave

The Vacation period is from 2. May until 15. September and employee has the right to get at least 20 days during that period. Employees which do not get 20 days of Vacation during that period shall receive 25% extension of Vacation rights on the amount of days which are missing of these 20 days. The extension is based on that the employer / superior specifically asks the employee to postpone part or all of hers/his 20 days of Vacation until after the elapse of the Vacation period.

Illness/sickness during vacation leave

If employee gets ill/sick (in EEA, Switzerland, USA or Canada) during Vacation leave the period of illness/sickness (more than 3 days) he has the right of additional Vacation leave given that the illness/sickness is so severe that the employee wasn't able to have full use of the Vacation leave. The employee shall inform employer / superior on the first day with a verifiable manner of the situation. Employee must show a prove of illness/sickness with a doctor's note.

Vacation during termination notice

During termination notice an employer cannot unilaterally decide that part of the period shall be taken as a Vacation leave. However, employee can agree to such arrangement. If no such arrangement is made any remaining Vacation rights shall be settled in the end of the notice period.

Accumulation during Maternity/Paternity leave

Maternity / Paternity leave counts toward employment related rights. Maternity / Paternity leave doesn't count as part of accumulation period for calculation of Vacation rights.

Additional detail

Vacation right by Collective Wage Agreements and law. 

All texts are in Icelandic and have not been translated by FÍN.