Can annual leave be paid out in cash?
Normally it cannot — and that surprises many. Paid annual leave is at least four calendar weeks, and public holidays falling within the leave are not counted as leave days. Annual leave may not ordinarily be replaced with money while employment continues — cash is due only when the employment ends, and then the employer must compensate all unused leave. It can be split, but one part in the current working year may not be shorter than two uninterrupted weeks. Carrying leave over to the following year is permitted only in exceptional circumstances and with the employee's written consent. After six months of continuous employment you may demand the full leave for the first working year.
📋 The rules
- At least four calendar weeks
- Public holidays in the leave are not counted
- It cannot normally be paid out while employed
- If split, one part is two uninterrupted weeks
- After 6 months you may claim full leave
🔓 Exceptions
- An employee under 18 receives one month of annual leave
- A pregnant employee may take leave before or after maternity leave regardless of service
- Additional leave applies, for instance, to an employee with three children under 16
⚠️ Penalties & fines
A general Labour Law breach can cost €35–350 for a natural-person employer and €70–1,100 for a legal entity — but the important consequence lies elsewhere. Unused leave does not vanish. When employment ends, the employer must compensate all unused annual leave — it cannot simply be deleted from the records because a year has gone by. So be sceptical of "expired" days: if an employer claims your old leave has lapsed, that does not mean the compensation has lapsed with it. And do not forget the public holidays: a holiday falling within your leave is not a leave day — the leave is extended accordingly.
📎 Official sources
❓ Frequently asked
How much annual leave am I entitled to?
At least four calendar weeks. Public holidays falling within the leave are not counted as annual-leave days, so the leave is extended accordingly rather than absorbing the holiday.
Can annual leave be paid out in cash?
Not normally while employment continues. Cash is due only when the employment relationship ends — and then the employer must compensate all unused annual leave.
Does unused leave expire?
The compensation does not. When employment ends, the employer must compensate all unused leave — it cannot simply be struck from the records merely because a working year has passed.
When can I take my first leave?
After at least six months of continuous employment with the same employer, you may demand the full annual paid leave for the first working year rather than a pro-rated portion.
Can leave be split up?
Yes, by agreement with the employer. But one part in the current working year may not be shorter than two uninterrupted calendar weeks — it cannot be broken entirely into single days.
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