Holidays are for relaxation.
The Federal Labor Court decided on December 20, 2022 (Az. 9 AZR 266/20) that this recreational purpose is still given years later.
In doing so, the court – inevitably – follows the case law of the European Court of Justice, which had stipulated this.
In the case decided, a tax clerk had claimed compensation for unused vacation for the period from 2013 to 2017.
The court agreed with her.
The holiday entitlement was not time-barred.
The statute of limitations begins only when the employer notifies employees of the outstanding vacation and warns that the vacation will expire if it is not taken.
If this notice is not given, the holiday entitlement continues to exist virtually indefinitely.
This also applied in parallel proceedings, although the plaintiff was unable to take his vacation due to a 5-year full reduction in earning capacity.
Only the termination of the employment relationship can change that: Because then the holiday entitlement is converted into a monetary entitlement - and this is subject to the statute of limitations as well as shorter exclusion periods.
Practice will have to adjust to this – because the court has not granted protection of legitimate expectations.
This ends the year 2022 with further requirements for employers.