13.05.2022

Annual leave during lay-offs

You are entitled to annual holiday pay from your employer if you take your annual leave while laid off. If your annual holiday pay is based on full-time work, you cannot receive an earnings-related allowance for the days you take as leave. Although you cannot be paid an earnings-related allowance while you are on annual leave from full-time work, you can still fill in your earnings-related allowance application at the usual time and keep your job-seeker status active with the TE Office. Remember to fill in annual leave days in the daily columns of the application. If your annual holiday pay is based on part-time work, you may be entitled to an adjusted allowance for the days you are on leave. You can therefore fill in your application as usual. However, remember to fill in your annual leave in the daily columns of the application.  

Impact of holiday allowances on earnings allowance

Your employer may pay you holiday compensation while you are laid off. If this happens, please enclose a payslip showing your holiday compensation with your application. If you have been laid off from full-time work, any holiday compensation you receive during the lay-off will be classed as paid annual leave under unemployment security rules. You cannot receive an earnings-related allowance for periods of paid annual leave. If you have been laid off from part-time work and you receive holiday compensation during the lay-off, your earnings-related allowance will be adjusted accordingly. You can find out more about adjustments based on income under What is an adjusted allowance?