The holidays they are an inalienable right of the worker which is guaranteed by the Constitution of our country. Precisely for this reason, the legislator intervened to clarify that unused holidays cannot be paid, i.e. they cannot be replaced by financial compensation in the pay slip. The only case in which the worker can see paid for the holidays that he has not taken is when the employment relationship ends: in this case, in fact, together with the severance pay there are also the holidays not taken.
The calculation of the amount of unused holidays is rather simple and is based on two elements: the number of days of unused holidays (bearing in mind that there may be limits as established by the CCNL) and the daily or hourly salary.
Let’s take an example: an employee has 20 days of unused vacation and his daily salary is €100. Amount of holidays not taken = 20 days x 100 euros/day = €2,000.
It should be noted that holidays, including former abolished holidays, should not be confused with hours of leave. Below is a short explanatory table:
| Characteristic | Days off | Hours of leave |
| Definition | Mandatory rest period | Flexibility for specific needs |
| Method of use | Continuous periods | By the hour, even in fractions |
| Maturity and calculation | Monthly, based on the CCNL and salary | Monthly, based on the CCNL and salary |
| Holidays/leave not taken | Monetizable at the end of the employment relationship | Not monetizable, except for company agreements |
| Reasons | Any reason | Family events, medical visits, personal needs |
| Request | Adequate advance | More flexible |
| Substitutions | Mandatory | Not always mandatory |
Unused holidays in the pay slip: where are the days found?
The number of days off which has not been taken advantage of is explained in the pay slip in the specifically dedicated item, which can be called “holiday” or “notes”. If the employment relationship has existed for several years, it is possible that the worker will also find untaken holidays from the previous year on his pay slip, keeping in mind that – unless otherwise agreed with the employer – holidays do not have an expiry date.
If the number of vacation days is not specified, you can refer to labor consultant who handles payroll processing or speak to theCorporate HR manager.
How much are holidays and leaves paid?
When an employment relationship ends, the unused holidays are converted into an economic amount which is added to the severance pay (TFR). This compensation is determined by multiplying the days of vacation not taken by the daily wage. For example, if a worker has 10 days of unused vacation with a daily wage of €90.91, he or she will receive €909.10 as compensation for this vacation.
Please remember that the severance pay and unused holidays occurs at the same time and that the total amount is subject to taxation according to IRPEF regulations and INPS contributions. It is essential that the worker keeps his or her pay slips to facilitate the calculation of unused holidays at the time of termination of the employment relationship.
Furthermore, to clarify doubts or uncertainties, we recommend consulting an expert in labor law. These practices are regulated by specific provisions of the Civil Code, by National Collective Labor Agreements (CCNL) and by individual work agreements.
How many days of vacation are entitled to in a year?
The number of days of holiday due to a worker in Italy varies based on the sector to which he or she belongs and the national collective labor agreement (CCNL) applied. In general, for full-time workers, the minimum required by law is 4 weeks a yearwhich correspond to 20 working days of vacation, considering a 5-day working week. This is the guaranteed minimum for employees, but many collective agreements provide for a greater number of days.
In the public sector, for example, the number of days of annual leave can be higher and often varies between 28 and 32 working days, depending on the contract applied and the employee’s length of service. In the private sector, conditions can vary significantly based on the industry sector, worker qualification and specific company policies.
Furthermore, some contracts provide that, in addition to vacation days, workers may be entitled to additional days based onseniority of service or to others specific conditions. It is important to consult your CCNL or the company’s personnel office to find out exactly how many days of holiday you are entitled to based on your specific employment contract.
Payment for unused public administration holidays
In the Italian public administration, the payment of unused holidays is specifically regulated, taking into account the regulations governing the employment relationship of state employees. When a public administration employee does not use the entire period of leave to which he or she is entitled, these are monetized upon termination of the employment relationship, whether due to retirement, resignation, or otherwise.
The payment of unused holidays in the public administration follows the calculation which is based on the salary that the employee would have received if he had actually taken the holidays. The daily salary is therefore considered, obtained by dividing the monthly salary by the number of working days expected in the month.
For public administration employees, the regulations and calculation methods may vary based on national collective labor agreement (CCNL) applicable, which may provide for particular conditions or limitations. It is therefore important to check the specific contractual clauses and current legal provisions.
Furthermore, even in the case of public administration employees, holidays not taken and subsequently paid are subject to ordinary taxation, as components of employee income, and contribute to the formation of the overall income on which to calculate IRPEF. In some cases, specific tax regulations may apply that influence how these sums are taxed.
It is essential for public administration employees to keep accurate records of accumulated and unused holidays and to check with the personnel office or with their union the rules applicable to their specific case. There transparency and accuracy in managing holidays not only ensure correct remuneration for the worker, but also guarantee compliance with work and tax regulations.
