Calculation of leave
In the Czech Republic, holiday entitlement is based on the employee’s working hours. By law, every employee is entitled to at least four weeks of paid leave per calendar year. But how does this apply in more detail—and what about non-standard contracts?
This article provides an overview of current legislation and a practical guide for calculating leave across different types of employment contracts.
Basic Principles of Holiday Calculation
Length of Leave
According to the Labour Code, the minimum statutory leave is four weeks per year. However, employers are free to offer more—five weeks or more is already common in some industries.
Calculating Leave in Hours
Since 2021, leave has been calculated based on hours worked rather than days. While the law (Act No. 285/2020 Coll.) still defines leave in weeks, the actual entitlement is derived from the employee’s weekly working hours.
This approach is fairer, especially for those with irregular schedules. Employees working shifts aren’t penalized for taking leave on a day with fewer hours, nor do they gain extra by taking it on a longer shift day. For employees with standard or part-time hours, not much changes.
Formula for Calculating Leave (Full-Time Employment)
Here’s the basic formula:
(Weekly hours ÷ number of weeks in the year) × number of weeks of leave × number of weeks worked
For example, a full-time employee working 40 hours/week is entitled to at least 160 hours of leave (4 weeks). If the agreed entitlement is 5 weeks, that equals 200 hours. Results are rounded up to the nearest full hour.
Part-Time Employees
The rules are the same, but the entitlement is adjusted according to their agreed working time. A part-timer working 20 hours a week with a 4-week entitlement gets 80 hours of leave (4 × 20).
Holiday for DPP and DPČ Contracts
Since January 1, 2024, employees working under DPP (Agreement to Perform Work) or DPČ (Agreement on Work Activity) are entitled to paid leave if:
- The contract lasts at least 4 continuous weeks (28 calendar days).
- The employee works at least 80 hours for the same employer.
For these contracts, a notional 20-hour workweek is used. That means for every 20 hours worked, the employee earns roughly 1.5 hours of leave (based on the 4-week minimum entitlement). If the employer offers more than 4 weeks, entitlement increases accordingly.
If the leave isn’t used, the employee is entitled to compensation based on their average earnings.
Changing Working Hours Mid-Year
If an employee’s working hours change during the year, leave is calculated separately for each period with a different schedule. The entitlement is then totaled proportionally.
Maternity and Parental Leave
- Maternity Leave (including equivalent paternity or parental leave within the same timeframe) counts as work time for the purposes of holiday entitlement. So employees still earn leave during this period.
- Parental Leave, however, does not count as work time. It doesn’t contribute to the accrual of leave unless the employer voluntarily includes it in their internal policies or a collective agreement.
Upcoming Legal Changes Affecting Holiday Policy
Abolishing the Written Leave Schedule Requirement (From August 1, 2024)
As of August 1, 2024, employers are no longer required to prepare a written schedule of employee holidays. This change, introduced by Amendment No. 230/2024 Coll. to the Labour Code, aims to reduce paperwork.
However:
- Employers still decide when leave is taken, considering operational needs and employee preferences.
- They must notify employees of planned leave at least 14 days in advance unless another arrangement is made.
In practice, many employers already plan leave flexibly, so this change mainly formalizes what’s become standard practice.
How Sloneek Helps
Once you’ve set up each employee’s entitlement in Sloneek, managing leave becomes easy. The platform’s robust Absence module lets you define individual balances, track how much leave has been used, and carry over unused leave from the previous year.
Sloneek handles the rest—calculating remaining leave in real time and giving employees a clear view of their current balance. The same system works for other types of absence too, such as sick days.
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