Remaining leave during the notice period: take it or have it paid out?

After a termination there is often still remaining leave open. In principle leave should be taken as time off, including during the notice period. If that is no longer possible, the leave must be paid out (leave compensation). What is important is exactly what a release states.

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If you can no longer take the remaining leave until the end of the employment relationship, it must be compensated financially (§ 7 para. 4 BUrlG).

A release 'with credit of the leave' credits the leave. Only a revocable release often does not fulfil the leave entitlement; it comes down to the wording.

What you should do now

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1. Calculate the remaining leave
Determine your proportional annual leave up to the end of the employment relationship, including carryover from the previous year.
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2. Read the release precisely
If it states 'irrevocably with credit of leave entitlements', the leave counts as granted. For unclear wordings, follow up.
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3. Demand leave or compensation
If you want to take time off, apply for the leave. If that is no longer possible in time, demand compensation in money.
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4. Observe exclusion periods
Check the employment contract for exclusion periods; otherwise leave compensation can lapse if you do not assert it in time.

How to spot the scam

The release is worded only as 'revocable'; then the leave may not be fulfilled.
The employer refuses compensation despite open leave.
The contract contains short exclusion periods that you overlook.

Frequently asked questions

Can I take remaining leave during the notice period?

Yes, leave should primarily be taken as time off, including during the notice period. The employer can release you for this. If that is no longer possible, the leave must be paid out.

What does release 'with credit of leave' mean?

That your remaining leave is used up during the release. For the leave entitlement to be really fulfilled, the release must generally be irrevocable. Pay attention to the exact wording.

When is leave paid out?

If it can no longer be taken until the end of the employment relationship (§ 7 para. 4 BUrlG). Assert the compensation in good time, especially if your contract contains exclusion periods.

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General information for self-help, not legal advice (RDG). In case of a high loss or uncertainty: contact a consumer advice center or a lawyer.