News - 23.09.2025
Did you receive increased holiday entitlement for accumulation?
In the most recent collective agreements, increased holiday entitlement was negotiated for VR members working in retail, office, and service jobs, under VR’s main collective agreements with the Confederation of Icelandic Enterprise (SA) and the Federation of Icelandic Trade (FA). As of May 1, 2025, the holiday accrual rights for taking leave after May 1, 2026, are as follows:
Minimum holiday is 24 working days, with holiday pay at 10.17% of all wages.
- VR members who have worked 6 months at the same company and are 22 years or older, or have worked 6 months at the same company after completing upper secondary school, receive 25 holiday days, and holiday pay at 10.64%.
- After 5 years in the same occupation, the entitlement increases to 26 days and holiday pay of 11.11%.
- After 4 years at the same company or 10 years in the same occupation, the entitlement is 28 days with holiday pay of 12.07%.
- After 6 years at the same company, the entitlement is 30 days with holiday pay of 13.04%.
If holiday pay is calculated monthly and deposited into a bank account, it is important to check that the holiday pay percentage increased as of May 1 in line with these changes. The percentage can be found on your payslip.
If holiday hours are listed on your payslip, you must ensure that the number of holiday hours also increased as of May 1 in line with the above changes. For example, a person entitled to 24 holiday days, working full time in a day job, earns 17.08 holiday hours per month in a retail position but 16.2 holiday hours per month in an office position. If the entitlement is 25 days, the monthly accrual is 17.87 hours in retail but 16.94 hours in an office job
VR members who completed an upper secondary school degree this past spring must inform their immediate supervisor to receive the increased holiday entitlement. The entitlement is granted after 6 months of employment at the same company after finishing school. This right applies to anyone who has completed an upper secondary school degree. Each VR member is responsible for providing this information to their employer in order to claim the entitlement. The same applies to VR members who have worked 5 or 10 years in the same occupation. You must submit documentation to your employer to receive the increased holiday entitlement. This can be done by submitting a membership fee payment history, available on My Pages at vr.is, or obtained from other unions to which payments have been made.
Employees and employers may agree to additional holiday days, in which case holiday pay should be increased accordingly. If increased holiday rights are agreed beyond what is specified in the collective agreement, this must be done in writing.
Previously, accrued rights from employment with the same company were renewed after three years of employment with a new company. As of May 1, 2024, this has changed: an employee now only needs to work for two years at a new company to regain the holiday rights they had with their previous employer.
You can find more information about holiday entitlements [here].
The following changes apply as minimum entitlements for tourist guides working under the Tourist Guide Union’s collective agreement with the Confederation of Icelandic Enterprise (SA):
As of May 1, 2025, holiday entitlement for leave taken after May 1, 2026, is as follows:
- Minimum holiday is 24 working days, and holiday pay is 10.17% of all wages.
- Tourist guides with 5 years of experience are entitled to 27 holiday days and holiday pay of 11.59%.
- Tourist guides with 10 years of experience are entitled to 30 holiday days and holiday pay of 13.04%.
Further information about holiday entitlements for tourist guides can be found here.
