Compliance
Global Hiring
Author
Laura Bohrer
Date published
July 25, 2021
The possibility to hire remote employees from all over the world means that companies nowadays have access to an incredibly large talent pool. However, choosing the right candidate for your remote position requires careful consideration as there are many factors to take into account: How much will the new employee cost you? How big is the time difference? And how many paid vacation days will you have to grant to an employee based in country X?
If you are looking to hire a new talent for your remote team, chances are that this last aspect is of particular interest to you. Not only because it’s important to be compliant with local labour laws, but also because attractive annual leave requirements in a foreign country can actually save you money. Unfortunately, it’s quite easy to get lost with all the different annual leave policies countries have put in place. Therefore, we have compiled a quick overview showing you the minimum annual leave requirements that apply in different countries.
Just a quick note on how the information is presented in this article: The data provided refers to the statutory minimum annual leave required in each country - public holidays are not included. As annual leave entitlements are presented under different forms (calendar days, working days, weeks…), we have tried our best to normalise our data to a five-day workweek in order to make it more comparable. On this basis, we have then grouped the countries together in four categories: up to ten days of annual leave, between ten and 20 days of annual leave, 20 days of annual leave (as the legal minimum) and more than 20 days of annual leave.
In some countries, employees receive only a bare minimum of vacation days each year. These countries include the U.S., Hong Kong and China, among others.
Annual leave entitlements in China increase along with the employee’s length of service. Employees with one or more years of service receive five paid vacation days each year. For employees with a length of service between ten and 20 years, annual leave increases to ten days and after 20 years, employees are entitled to 15 paid days off each year.
Interested in knowing more about employment law and employee benefits in China? Check out our China Hiring Guide here.
In Hong Kong, employees start off with seven vacation days per year. After two years of service, an employee’s annual leave entitlement increases by one day each year until it reaches a total of 14 paid vacation days after nine years.
Interested in knowing more about employment law and employee benefits in Hong Kong? Check out our Hong Kong Hiring Guide here.
During their first two years of service, employees receive eight days of annual leave. Between the second and fifth year at the company, it’s twelve days and after five years, employees earn 16 paid vacation days.
Interested in knowing more about employment law and employee benefits in Malaysia? Check out our Malaysia Hiring Guide here.
Under Mexico’s Federal Labour Law, employees start off with six days of paid leave after having completed one year of service. With every additional year or service, annual leave increases by another two days until they reach an annual leave entitlement of 14 days.From the fifth year of service onwards, annual leave increases by two days every five years.
Interested in knowing more about employment law and employee benefits in Mexico? Check out our Mexico Hiring Guide here.
Employees in the Philippines receive five paid vacation days each year, starting after their first year of service.
Interested in knowing more about employment law and employee benefits in the Philippines? Check out our Philippines Hiring Guide here.
In Singapore, the minimum annual leave entitlement is seven days. With each year of employment, employees gain one extra paid day off until they reach a total of 14 days of annual leave. It is, however, quite common for employers to offer between 14 and 20 paid vacation days.
Interested in knowing more about employment law and employee benefits in Singapore? Check out our Singapore Hiring Guide here.
U.S. federal law doesn’t provide for paid annual leave. Most companies do, however, grant between one and three weeks of paid annual leave.
Interested in knowing more about employment law and employee benefits in the U.S.? Check out our United States Hiring Guide here.
Under federal law, employees in Canada are entitled to two weeks of paid annual leave as soon as they have completed one year of service. As employment continues, annual leave entitlements increase as follows: three weeks after five years and four weeks after ten years.
Interested in knowing more about employment law and employee benefits in Canada? Check out our Canada Hiring Guide here.
During the first five years of service, employees receive 15 paid vacation days. Thereafter, their number increases by one day every four years. The maximum employees can reach is 30 days.
Interested in knowing more about employment law and employee benefits in Ecuador? Check out our Ecuador Hiring Guide here.
As a standard, employees in India are entitled to 15 paid vacation days per year. For factory workers, the minimum annual leave entitlement is 19 days per year.
Interested in knowing more about employment law and employee benefits in India? Check out our India Hiring Guide here.
Similar to Hong Kong, annual leave in Japan increases with an employee’s seniority. Once an employee has completed six months of employment, he or she is entitled to ten days of paid leave. Thereafter, the number of paid vacation days per year increases as follows:
one and a half year – 11 days of paid leave
two and a half years – 12 days of paid leave
three and a half years – 14 days of paid leave
four and a half years – 16 days of paid leave
five and a half years – 18 days of paid leave
more than six and a half years – 20 days of paid leave
Interested in knowing more about employment law and employee benefits in Japan? Check out our Japan Hiring Guide here.
Ukrainian labour law provides for 24 calendar days of paid leave per year. This includes weekends and thus equals a total of three and a half weeks, i.e. 18 working days of annual leave. Employees over 55 as well as those who are disabled receive three additional vacation days.
Interested in knowing more about employment law and employee benefits in Ukraine? Check out our Ukraine Hiring Guide here.
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In response to the EU directive on working hours and annual leave entitlements, most of the membering states of the EU have adopted four weeks - or 20 days - of annual leave as statutory minimum requirement. Some other countries outside the EU have followed their example.
In Australia, employees are entitled to four weeks of paid annual leave. Untaken leave can be accumulated and used at a later point or cashed out.
Interested in knowing more about employment law and employee benefits in Australia? Check out our Australia Hiring Guide here.
In line with EU standards, Belgian employees get 20 paid vacation days although collective agreements may provide for additional days off.
Interested in knowing more about employment law and employee benefits in Belgium? Check out our Belgium Hiring Guide here.
Bulgarian law mandates a minimum of 20 days of paid annual leave. Employees earn paid leave as soon as they have completed eight months of employment.
Interested in knowing more about employment law and employee benefits in Bulgaria? Check out our Bulgaria Hiring Guide here.
After six months of service, employees in Croatia receive four weeks of paid leave per year. Depending on the job field, collective agreements may mandate a higher number of paid vacation days.
Interested in knowing more about employment law and employee benefits in Croatia? Check out our Croatia Hiring Guide here.
In Cyprus, the legal minimum for an employee’s annual leave is 20 days - applies to employees working a five-day week.
Interested in knowing more about employment law and employee benefits in Cyprus? Check out our Cyprus Hiring Guide here.
20 paid vacation days are the legal minimum employers have to grant their employees in the Czech Republic. During their first year with the company, the employee’s annual leave entitlement is prorated - only after having completed six months of employment.
Interested in knowing more about employment law and employee benefits in the Czech Republic? Check out our Czech Republic Hiring Guide here.
Estonian labour law mandates a minimum of 28 calendar days of annual leave which equals 20 paid vacation days for employees with a five-day week.
Interested in knowing more about employment law and employee benefits in Estonia? Check out our Estonia Hiring Guide here.
Based on a five-day workweek, employees in Germany receive at least 20 paid vacation days per year. In most cases, employers offer more than the legal minimum, with 25 to 30 days being quite common.
Interested in knowing more about employment law and employee benefits in Germany? Check out our Germany Hiring Guide here.
The minimum annual leave entitlement in Greece is 20 days. However, it increases with the employee’s length of service: plus one day in the second and third year and a total of 25 paid vacation days after ten years with the company.
Interested in knowing more about employment law and employee benefits in Greece? Check out our Greece Hiring Guide here.
Ireland follows the EU directive on annual leave and therefore imposes a minimum of 20 paid vacation days.
Interested in knowing more about employment law and employee benefits in Ireland? Check out our Ireland Hiring Guide here.
In Italy, the legal minimum for annual leave is 20 days per year but depending on the employee’s level of seniority, collective agreements may provide for additional days off.
Interested in knowing more about employment law and employee benefits in Italy? Check out our Italy Hiring Guide here.
Employees in Lithuania must receive at least 20 days of paid annual leave. I
nterested in knowing more about employment law and employee benefits in Lithuania? Check out our Lithuania Hiring Guide here.
The Netherlands also mandates a minimum of 20 paid vacation days per year. There are, however, many collective agreements providing for extended annual leave of up to 32 days.
Interested in knowing more about employment law and employee benefits in the Netherlands? Check out our Netherlands Hiring Guide here.
While employees with a length of service of less than ten years receive 20 paid vacation days, annual leave entitlement for those with more than ten years of employment increases to 26 days.
Interested in knowing more about employment law and employee benefits in Poland? Check out our Poland Hiring Guide here.
After having completed at least 60 days of work, employees in Slovakia are entitled to a minimum of 20 paid vacation days (calculated for a five-day workweek). Minimum leave entitlements for employees over 33 and those with children are higher: five weeks - or 25 days.
Interested in knowing more about employment law and employee benefits in Slovakia? Check out our Slovakia Hiring Guide here.
Switzerland also stipulates a minimum of 20 paid vacation days. Interested in knowing more about employment law and employee benefits in Switzerland? Check out our Switzerland Hiring Guide here.
There are some countries which have quite generous annual leave policies, including France and most of the Nordic countries like Denmark.
Once they have completed six months of service, employees in Austria receive 25 paid vacation days each year.
Interested in knowing more about employment law and employee benefits in Austria? Check out our Austria Hiring Guide here.
After their first year of service is over, employees in Brazil are entitled to 30 days of paid leave each year.
Interested in knowing more about employment law and employee benefits in Brazil? Check out our Brazil Hiring Guide here.
In Denmark, employees have a right to 25 paid vacation days each year. During the first year with a new employer, annual leave is unpaid.
Interested in knowing more about employment law and employee benefits in Denmark? Check out our Denmark Hiring Guide here.
With each month they work, Finnish employees earn two and a half vacation days, which leads to a total of 30 days of leave per year. However, it must be noted that Saturdays are included in this calculation, regardless of whether the employee works five or six days per week. Annual leave entitlement in Finland thus equals five weeks. During the first year of service, it’s four weeks.
Interested in knowing more about employment law and employee benefits in Finland? Check out our Finland Hiring Guide here.
Under French labour law, employees are entitled to 30 days of paid annual leave which includes Saturdays and thus equals five weeks. Collective bargaining agreements may even provide for additional vacation days.
Interested in knowing more about employment law and employee benefits in France? Check out our France Hiring Guide here.
Employees in Iceland receive 24 paid vacation days (i.e. weekdays) which must be taken during the holiday period between 2 May and 15 September of each year.
Interested in knowing more about employment law and employee benefits in Iceland? Check out our Iceland Hiring Guide here.
Norwegian labour law mandates a minimum of 25 paid vacation days per year. In contrast to other countries though, this number includes Saturdays which reduces the total amount of annual leave to four weeks and one day.
Interested in knowing more about employment law and employee benefits in Norway? Check out our Norway Hiring Guide here.
During the employee’s first year, annual leave is limited to 20 days. After that, the annual leave entitlement increases to 22 paid vacation days.
Interested in knowing more about employment law and employee benefits in Portugal? Check out our Portugal Hiring Guide here.
In Spain, all employees receive 30 calendar days of paid annual leave which equals 22 working days.
Interested in knowing more about employment law and employee benefits in Spain? Check out our Spain Hiring Guide here.
Similar to other Nordic countries, employees in Sweden get five weeks of annual leave, i.e. 25 paid vacation days. Employers are free to decide whether to grant leave in advance during the employee’s first year. At least four weeks of annual leave must be granted during the holiday period from June to August.
Interested in knowing more about employment law and employee benefits in Sweden? Check out our Sweden Hiring Guide here.
UK employment law rules that employees must receive at least 28 paid vacation days per year. However, employers have the option to include public holidays in this calculation as public holidays are not usually given as paid days off.
Interested in knowing more about employment law and employee benefits in the United Kingdom? Check out our United Kingdom Hiring Guide here.
As you can see, annual leave entitlements vary greatly between countries. While some of them only provide for a bare minimum of a couple of days, others have established generous annual leave policies which grant employees up to almost a month of vacation each year. However, there are numerous other factors to keep in mind when hiring remote employees, with complex local labour laws being only one of them. Need help hiring remote employees? Get expert guidance from Lano and have all the hiring troubles taken off your hands.
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