Luxembourg Leave Payout Laws
Understand your rights to payment for unused annual leave in Luxembourg. Learn how leave payout is calculated when you resign, are terminated, or change jobs, and what to do if there are disputes.
Leave Payout Rights in Luxembourg
In Luxembourg, employees are generally entitled to receive payment for any accrued but unused annual leave when their employment ends. This applies whether you resign voluntarily, are terminated, or your contract ends. The payout is typically calculated based on your regular daily or hourly rate.
When Leaving Your Job
When you leave your job in Luxembourg, your employer must calculate the leave you've earned but not taken. If you've taken more leave than you've earned, your employer may be entitled to deduct this from your final pay. It's important to check your employment contract and local regulations for specific requirements.
How Payout is Calculated
Leave payout is typically calculated by multiplying your unused leave days by your daily rate of pay. For hourly workers, this is usually the number of hours multiplied by your hourly rate. Some countries require employers to include average bonuses or overtime in this calculation.
Disputes and Enforcement
If you believe your employer has not correctly paid out your unused leave, you should first raise this with your HR department or employer directly. If the issue cannot be resolved, you may need to seek advice from a labor authority or legal professional in Luxembourg.