Understanding how different countries allocate paid vacation days, public holidays, and time off can help companies strategise more effectively. Paid time off policies vary greatly across the globe, offering different amounts of vacation days and paid public holidays. Remote employees are just as much in need of time off as office-based workers as the boundaries between work and private life can easily become blurred. As annual leave varies substantially from country to country, we have focused on a select number of countries across the world with some of the most generous annual leave.
Annual leave is the most common form of paid leave around the world. Also known as statutory or holiday leave, it is the number of paid days or weeks employees can take off work to relax and recharge. Annual leave is given in addition to local public and bank holidays. Understanding international paid vacation policies is vital for creating job satisfaction among a global workforce.
Below, we provide an overview of 10 countries that offer generous annual leave.
The Importance of Paid Leave for Remote Workers
Remote employees are just as much in need of holidays as their office-based counterparts. The boundaries between work and private life can easily become blurred when working from home. These blurred lines often result in longer working days, eroding the designated paid vacation period. Remote employees often work longer hours, move less, and miss out on vacation days, leading to a decline in social interactions. All of this can have adverse effects on their mental and physical health.
Fortunately, a refreshing holiday can do wonders, reversing all of those negative side effects.
Employing your remote employees in accordance with local employment laws means giving them the paid time off they are entitled to in their country of residence. By employing each remote employee compliantly, you can keep up your team members’ morale and engagement.
1. Bahrain
In Bahrain, all employees are entitled to at least 30 days of paid leave per year, accumulated monthly at .5 days per month, provided they have completed at least one year of service for the employer.1 Beyond this initial threshold, the worker’s length of employment is not relevant; however, employees who ask for leave during their probationary period (i.e., before they’ve worked a full year) will only obtain leave retroactively after its successful completion.
Annual leave regulations fall under a law ratified relatively recently (in 2012) but that is nonetheless part of a long-standing movement to improve workers’ lives in the country.
2. Brazil
In Brazil, all employees are entitled to 30 days of paid annual leave after 12 months of continuous work. However, there are several restrictions as to how these 30 days can be used, which have changed slightly as of Brazil’s 2017 labour reform but nonetheless pose a challenge to employers and employees navigating scheduling in the country. Prior to 2017, the 30 days could be divided into no more than two breaks, and one had to be at least 10 days. Now, the 30 days can be divided into a maximum of three breaks, provided that one is at least 15 days.2
In practice, the annual leave days a regular Brazilian employee takes are often closer to 20 rather than 30. Employers should work carefully with employees to ensure they’re taking advantage of their days in a way that’s fair and promotes mental and physical well-being.
3. United Arab Emirates
As in Brazil and Bahrain, UAE employees are entitled to 30 days paid annual leave after a year employment period. Additionally, they accumulate PTO at a rate of two days per month after six months of service. In addition, an employee whose service ends before their entire leave balance is used will be granted (paid) leave for the proportion of the final year worked.3
4. Tanzania
Employees who have worked for 6 consecutive months are entitled to at least 28 consecutive days of annual leave per ‘leave cycle’ (12 months of consecutive employment). However, any public holidays that fall within the period when an employee is on leave are included as annual leave. In addition, employers may determine the influence when this leave is taken provided that the dates they determine are no later than 6 months after the end of a leave cycle or 12 months after a cycle with the employee’s express consent or under extenuating circumstances.4
5. France
In France, almost all employees are entitled to 2.5 days of paid leave for each month worked, which corresponds to 30 working days or 5 full weeks per year of work. The entitlement kicks in on the day an employee is hired, irrespective of seniority. Employers enjoy some authority in deciding when employees take leave, in the absence of a collective bargaining agreement that determines it; but, generally speaking, leave occurs between May and October each year.5
Until recently, French employees did not accrue annual leave during sick leave or other paid absences. But the French High Court recently overturned this ruling because it contradicted the European Court of Justice. As such, French workers now accrue annual leave even if they are out sick.6 This change reflects a broader trend across Europe to integrate statutory leave policies with court directives.
6. Denmark
All employees in Denmark are entitled to 5 weeks of paid annual leave, regardless of their classification. This leave is accrued at a rate of 2.08 days per month. Per recent changes to Denmark’s ‘Ferieloven’ or Holiday Act, effective in September 2020, accrued time can be used immediately; prior versions of the law stipulated that accrued time was for the following year.7
7. Austria
In Austria, all employees are entitled to five weeks of paid leave per year, whether they work part-time or full-time. For the first six months of employment, leave is calculated relative to time worked. After seven full months, the entire year’s entitlement applies. And after two years of employment at the same employer, the full accrual is granted at the start of the year. In addition, after 25 years of service, employees are entitled to 6 weeks of paid leave per year.8
8. New Zealand
In New Zealand, all employees must be provided at least 4 weeks of paid annual leave per year regardless of their classification (full-time, part-time etc.). Legally, this entitlement only kicks in after 12 months of continuous work. However, in practice, it is common to give people 4 weeks of paid leave within the first 12 months of work—NZ law explicitly requires employers to be reasonable when considering requests. In addition, employers must keep accurate records of what leave employees have accrued and have taken, as it does not expire until the employee takes it or cashes it in for pay. The ‘week’ designation allows for flexibility relative to the days and work patterns of a given employee’s schedule. NZ law requires employers to work with employees in cases where work patterns are unpredictable to ensure their rights are upheld.9
9. Germany
European countries typically offer more generous vacation days than those in the United States, as seen in Germany's allowance. In Germany, the Mindesturlaubsgesetz für Arbeitnehmer grants a minimum of 24 paid days off to all employees based on a 6-day work week (employees on 5-day weeks are technically entitled to 20).10 Other legal mandates include considering workers’ wishes with respect to planning leave and providing information about accrued and used leave upon termination.
Beyond the legal mandates, German employees often receive more days off per year (i.e., 25-30) due to collective bargaining agreements or individual contracts with employers.
10. The United Kingdom
In the UK, most employees are entitled to 5.6 weeks of paid annual leave provided they work a 5-day week. However, actual leave entitlements are calculated differently depending on the number of days worked per week. Full-time employees are entitled to 28 days of paid annual leave per year, which is the maximum amount of paid annual leave. Employees in the UK (or their employers) can calculate the entitlement by multiplying the number of days worked per week by 5.6.11 The UK government also provides an entitlement calculator for this purpose.12
To better understand UK annual leave, consider contacting an employer of record in the UK.
![5 Tools Every Startup Needs to Accelerate Its Growth Strategy [& Secure Future Funding]](https://cdn.prod.website-files.com/6070bb98d3880477794a7128/67acb3976f27d3a6deb27278_startup-growth-1200x628-2.png)
