Annual Leave Entitlements in Ireland: A Practical Guide for Employers

Managing annual leave is a critical responsibility for employers in Ireland, ensuring both legal compliance and a supportive workplace environment. With clear guidelines outlined under Irish law, including the Workplace Relations Act 2015, understanding your obligations is key to fostering a positive and compliant work culture. 

This guide breaks down everything you need to know about annual leave entitlements, offering practical tips and answers to common employer questions to help you navigate the process seamlessly.

 

Under Irish law, employees are entitled to a minimum of four weeks of paid annual leave per year, calculated based on their working hours. Leave must generally be taken within the leave year or during a specific carry-over period. 

Key Points at a Glance: 

 

• Eligibility: All employees—full-time, part-time, or temporary—qualify for annual leave. 
• Accrual Rates:  Full-time employees: 4 weeks per year.  Part-time employees: 1/3 of a working week for every month worked or 8% of total hours worked (up to 4 weeks). 

 

Quick Reference Chart:

 

1. How is annual leave calculated for part-time staff? 

Annual leave for part-time employees can be calculated as: 

• 1/3 of a working week per month worked, or 
• 8% of hours worked (capped at 4 weeks). 

Regularly updating and documenting calculations is essential and using HR Solutions like those offered by SD Worx Ireland can simplify this process. 

2. Do employees accrue leave during statutory leaves (e.g., maternity leave)? 

Yes, employees accrue statutory annual leave while on maternity, adoptive, or other statutory leaves. This leave must typically be taken within 15 months of the end of the leave year it was earned. 

See also: How to Effectively Support Your Employees During Maternity Leave: A Guide for Irish Employers | SD Worx 

3. Can employers specify when employees take leave? 

Employers can require employees to take leave at specific times, provided: 

• At least 1 month’s notice is given. 
• Employee preferences are reasonably considered alongside business needs. 

4. What happens to unused leave? 

Employees should take their leave within the same leave year whenever possible. While some carryover is permitted, statutory leave must be used within six months unless otherwise agreed. If an employee leaves the company or is made redundant, any accrued but unused leave must be paid out in their final salary, in line with employment law and company policy. 

5. Do employees keep their leave if they’re off sick? 

Yes, employees who miss work due to certified illness retain their statutory annual leave entitlement. This leave must be used within 15 months of the relevant leave year. 

6. What are employees entitled to if a public holiday falls on a workday? 

If a public holiday falls on a regular workday, employees are entitled to an additional day off, an extra day of annual leave, or a day’s pay. The additional day's pay will be equivalent to the normal daily hours last worked before the public holiday.

 

The Workplace Relations Act 2015 established clear procedures for handling disputes related to annual leave entitlements. Employers are required to: 

• Maintain accurate records of hours worked, leave accrued, and leave taken. 
• Address employee claims via the Workplace Relations Commission (WRC). 

Failure to comply may result in fines or legal action, making proactive management essential. 

Promoting proper use of annual leave is about more than compliance—it’s about building a supportive and productive workplace. By respecting employees’ entitlements, you’ll foster trust, enhance morale, and maintain adherence to Ireland’s employment laws. 

Related Blog: The Role of HR Software in Managing Absence and Leave | SD Worx
 

Managing annual leave entitlements doesn’t have to be stressful. At SD Worx Ireland, we provide tailored HR software and payroll solutions that ensure: 

• Accurate leave calculations. 
• Seamless tracking of leave requests and usage. 
• Time-saving tools to help you focus on growing your business. 

Stay compliant and support your team effortlessly with HR and Payroll solutions from SD Worx Ireland.