The vacation pay supplement, according to the wage agreements of VR is ISK 58,000 in 2024 (for 1. May 2023 - 30. April 2024, based on full-time work). The vacation pay supplement shall be paid no later than on 1 June each year.
A full year’s employment, for this purpose, is 45 worked weeks or more, excluding holiday time or 1.653,75 hours for office workers or 1.743,75 for shop workers.
The vacation pay supplement is a fixed amount and does not change in line with wage changes or other clauses of wage agreements. The supplement is subject to taxes, union dues and pension premium. Vacation pay is not paid on top of the vacation pay supplement.
The bonus shall be paid according to employee’s job proportion and length of employment during the holiday reference year, to all employees who have been in continuous employment for the same employer for 12 weeks during the previous 12 months as of 30 April OR who are employed during the first week of May. Accrued holiday bonus shall be settled upon termination of employment in the event that such termination occurs prior to the due date for the bonus.
You can calculate your vacation pay supplement here.