There is no work obligation on public holidays and major public holidays, but employees should be paid their fixed and regular wages for the day.
Public Holidays are all the feast days of the National Church of Iceland, i.e. Maundy Thursday, Easter Monday, Ascension Day, Whit Monday and Boxing Day, as well as First Day of Summer and 1 May.
Major public holidays are New Year‘s Day, Good Friday, Easter Sunday, Whit Sunday, 17 June, the August Bank Holiday (first Monday in August), Christmas Day and the period after 12:00 noon on Christmas Eve and New Year’s Eve.
Weekend time off
Weekend time off in shops according to VR and SA agreements
A protocol from 2004 in the agreement between VR and SA states that parties will direct their members to arrange shop assistant’ work time, who work all week days, in such a manner that they have time off at least 6 weekends of every 18 from Friday evening to Monday morning.
Weekend time off in shops according to VR and FA agreements
Shops must endeavour to arrange work time for employees who work all week days in such a manner that they have time off at least 6 weekends of every 18 from Friday evening to Monday morning.
Weekly day off
According to ASÍ’s working hours agreement with entities in the labour market, employees have a right to one day off in every seven-day period and these days off must generally fall on Sundays. If, however, a day off falls on a week day, this it does not compromise the employee’s entitlement to regular wages and shift-work supplements.
Postponement of weekly day off
A company may however, by an agreement with its employees, postpone a weekly day off when special circumstances so demand. In the case of a specific need to arrange work in such a way that a weekly day off is postponed on an ongoing basis, a collective wage agreement to such effect must be prepared.
Time off in December
Time off due to pressure in December according to VR and FA agreement:
Permanently employed shop assistants and shop warehouse clerks who work long hours in December, e.g. on Saturdays after 4pm, Sundays and evening of 23 December (Þorláksmessa) and who work at least 50%, are entitled to two days off with pay.
If an employee so requests, he has a right to a 10% wage bonus based on own daytime wages in December instead of 2 days off.
Those days off may be granted before 12:00 on Christmas Eve and New Year’s Eve or after Christmas.