Hasznos

Cash redemption of vacation days

The leave can be redeemed for money only upon termination of the employment

relationship - provided that the employer has not issued the proportionate leave by then.

The prohibition of redeeming vacations applies to all vacations that have not been taken out,

and thus to vacations left over from the year of termination of the employment relationship

as well as from previous years.

According to the Labor Code, upon termination of the employee's employment, if he did not

receive leave commensurate with the time he spent with the employer, it must be

redeemed in cash. It does not matter under what legal title and for what reason the

employment relationship is terminated.

Redemption of leave is mandatory, but until the termination of the employment

relationship, the parties have the opportunity to decide whether to give it in kind or to use

the leave that can still be used.

According to the provisions of the Labor Code:

Section 122 (5) Leave cannot be redeemed, except for the provisions of Section 125.

§ 125. Upon termination of the employment relationship, if the employer has not granted

the proportionate leave, it must be redeemed - with the exception of paternity leave and

parental leave.

The leave can be redeemed for money only when the employment relationship is

terminated.

The cited rule of § 122. (5) of the Labor Code applies to all unissued leave from the year of

termination of the employment relationship as well as from previous years. For the duration

of the leave, the employee is entitled to his absence pay.

It should be emphasized that neither an employment contract nor a collective agreement

may deviate from this rule. Not even if the employee expressly requests that, in view of his

poor financial situation, for example, he is paid an absence allowance instead of the extra

leave due to his age.

Source: Tax Online