Leave policies are important for both employers and employees. In this page we are going to explore the leave laws of Iceland. This article explains Iceland’s leave laws, including Maternity/Paternity leave Maternity Leave Annual Leave Paternity leave Public holidays Parental leave Sick Leave Whether you are an employer making leave policies or an employee learning about your rights.
LeaveType | Quota | Accrual Rules | Carry Over Rules | Payout on Termination | End of Year Payout |
---|---|---|---|---|---|
Maternity/Paternity leave | Up to 12 months shared | Not applicable | Not applicable | Not applicable | Not applicable |
Maternity Leave | Up to 24 weeks | Not applicable | Not applicable | Not applicable | Not applicable |
Annual Leave | 24 working days per year | Accrues monthly | Carry over is possible | Paid out | No standard end of year payout |
Paternity leave | Up to 24 weeks | Not applicable | Not applicable | Not applicable | Not applicable |
Public holidays | 13 public holidays | Not applicable | Not applicable | Not applicable | Not applicable |
Parental leave | Nine months total, three months each parent, transferable. | Accrues from date of child's birth. | Must be used before child turns 18 months. | No payout for unused leave. | No end of year payout. |
Sick Leave | Up to 2 months | Based on length of service | Generally no carry over | No payout | No payout |
Parents are entitled to maternity or paternity leave, which can be shared between them, totaling up to 12 months.
Employers must be notified of the intended leave at least 8 weeks before the expected due date or the planned start of the leave.
While maternity/paternity leave does not require approval, proper notice must be given in accordance with statutory requirements.
Additional quota beyond the statutory leave for maternity or paternity is not typically available.
Maternity and paternity leave entitlements do not accrue over time but are available per instance of childbirth or adoption.
Carry over rules do not apply to maternity or paternity leave as it is event-based.
There is no payout for unused maternity or paternity leave upon termination as it is intended for use around the time of childbirth or adoption.
There is no end of year payout for maternity or paternity leave.
While the leave can be shared, certain portions of the maternity or paternity leave are non-transferable and must be used by the designated parent.
Pregnant employees are entitled to 24 weeks of maternity leave, which can be taken before and after childbirth. The government provides financial support during this period.
Employees must notify their employer at least 8 weeks in advance of their intended start date for maternity leave.
Maternity leave is a statutory right and does not require employer approval, though notification and coordination with the employer are necessary.
The 24-week period is fixed by law, and extensions beyond this are not common under normal circumstances.
Maternity leave entitlement is not accrued but is available as a right during pregnancy and post-birth recovery.
Carry over rules do not apply to maternity leave as it must be used within a specific time frame around the birth event.
Maternity leave cannot be paid out as it must be taken in relation to childbirth and recovery.
There is no end of year payout for maternity leave as it does not accrue annually but is granted per pregnancy.
During maternity leave, employees have protections under the law including the right to return to the same or a similar job position.
Employees are entitled to a minimum of 24 working days of paid annual leave for each year of employment.
The notice period for taking annual leave can vary depending on company policy. Generally, employees are encouraged to give notice as early as possible, ideally several weeks in advance.
Taking annual leave requires prior approval from the employer. The approval process typically involves submitting a leave request form or discussing directly with a supervisor.
Additional leave quota beyond the standard 24 days is not commonly granted under statutory provisions but may be negotiated individually or stipulated by collective agreements.
Annual leave accrues on a monthly basis from the start of employment, calculated at two days per month.
Unused annual leave can be carried over into the following year, but the specifics may be governed by employer policies or collective agreements.
Upon termination of employment, any accrued but unused annual leave must be paid out to the employee.
There is no statutory requirement for a payout of unused annual leave at the end of the year, as unused leave can be carried over.
Employees over the age of 45 are entitled to additional leave days. The specifics of these entitlements can vary and are often outlined in employment contracts or collective agreements.
Fathers are entitled to up to 24 weeks of paternity leave, which can be taken at any time within the first 18 months after the child's birth. This leave is intended to support early child-rearing and bonding.
The employer must be notified at least 8 weeks in advance of the start of the paternity leave.
Paternity leave is a statutory right and thus does not require explicit employer approval, although notification is necessary.
The set 24-week quota is generally fixed and extensions beyond this period are not standard.
Paternity leave does not accrue over time but is available per childbirth event.
Carry over rules do not apply to paternity leave as it is tied to a specific event and time frame.
Paternity leave is not subject to payout upon termination, as it must be used within the designated period post-childbirth.
There is no end of year payout for paternity leave as it is not an accruing benefit.
Paternity leave can be scheduled flexibly within the 18-month period after childbirth to accommodate the needs of the family.
Iceland recognizes 13 public holidays each year. If a public holiday falls on a weekend, it is not typically moved to a weekday.
Notice periods do not apply to public holidays as these are set dates known in advance.
Taking time off on public holidays does not require approval as these are legally recognized non-working days.
Additional public holiday benefits beyond the recognized dates are not standard.
Public holidays are fixed dates and do not accrue.
There is no carry over of public holidays; they are observed on the specific dates they occur.
There is no payout for public holidays upon termination as these do not accumulate.
There is no end of year payout for public holidays as they must be observed on the dates they occur each year.
Employees required to work on a public holiday may be entitled to additional compensation or alternative time off, depending on their contract and applicable laws.
Both parents are entitled to a total of nine months of parental leave. Each parent has an individual entitlement of three months leave, which is non-transferable, plus three months that can be transferred between the parents.
Parents are required to notify their employers at least eight weeks before they intend to start their parental leave.
Parental leave does not require approval from the employer, but the employer must be notified within the stipulated notice period.
The parental leave entitlement is fixed at nine months and does not allow for any additional quota beyond this period.
Parental leave entitlement begins to accrue from the date of the child’s birth and is available until the child reaches the age of 18 months.
Unused parental leave cannot be carried over beyond the child reaching 18 months of age.
There is no provision for a payout of unused parental leave upon termination of employment.
Unused parental leave is not paid out at the end of the year. It simply lapses if not used within the eligible period.
Parental leave can be taken in one continuous period or in separate chunks, however, each period must be at least one month long.
Employees are entitled to sick leave of up to 2 months, depending on their length of service and the specifics of their employment contract or collective agreement.
Employees are required to inform their employer about their sick leave as soon as possible, preferably on the first day of absence.
Sick leave does not typically require prior approval, but employers may require a medical certificate, especially for prolonged absences.
Additional sick leave quota may be granted if supported by medical documentation and depending on the terms of the employment contract or collective agreement.
Sick leave entitlement typically increases with the length of service, with specific accrual rates often detailed in employment contracts or collective agreements.
Sick leave usually does not carry over to the next year; it is intended for use within a given year or period of eligibility.
Unused sick leave is generally not paid out upon termination of employment.
There is no payout for unused sick leave at the end of the year.
Specific rules regarding sick leave may vary significantly depending on the terms of the individual employment contract or collective bargaining agreements.
Get a 30 days free trial for Pro plan, or go with the Basic forever free plan!