Employers take note: outstanding vacation days can become significantly costly during 2026

Outstanding vacation days are often perceived as merely an administrative matter. In reality, you are accruing a legal obligation that can quickly become significant. For employers, December is therefore the prime moment to finalize this dossier. Not because it is required, but because otherwise, you may carry avoidable risks into the next year.

The essence is clear: vacation days only expire if you, as the employer, can demonstrably fulfil your duty of care and your obligation to inform. If this is not the case, vacation days do not lapse or become time-barred. In practice, we see this go wrong more often than necessary. I previously addressed this in the last HR alert, but now we will delve deeper. This is something you, as the employer, must have thoroughly arranged, especially with the new year in sight.

What is prescribed by law and when this is effective:
As an employer, you must distinguish between two categories:

Statutory vacation days

• expire after six months
• days accrued in 2025 expire on 1 July 2026

Above-statutory vacation days

• become time-barred only after five years
• days accrued in 2025 become time-barred on 1 January 2031

These time periods only apply if two conditions are demonstrably met:

1. You have timely and in writing informed employees about their balance and the expiry or limitation date.
2. You have actually enabled employees to take vacation.

If either is lacking, the vacation days remain. With the same financial value. The employer then bears the full risk. In our files, we see that this is often precisely where it goes wrong: the administration may be in order, but evidence of communication is lacking.

Why employers should take this seriously
Most risks do not arise from unwillingness, but from incomplete documentation. An incorrectly informed employee can later successfully claim several years’ worth of accrued vacation days.

This affects:

• your balance sheet
• your personnel budget
• your evidentiary position in the event of a discussion or dispute
• your internal planning

HR usually has a sharp eye for this. The rest of the organization does not always. It is there that costly situations often arise.

What you must now arrange
This is the minimum standard for an employer aiming to eliminate risks:

1. Flawlessly separate statutory and above-statutory hours in the administration
   During an audit, it must be immediately clear which hours belong to which category.
2. Inform employees in writing and in a timely manner
   Not only in December, but preferably early in the new year. With specific expiry and limitation dates.
3. Facilitate the taking of leave
   It must be demonstrably possible for days to be taken. Mere notification is insufficient.
4. Communicate the consequences of not taking leave
   Without clear communication, the expiry period does not take effect.
5. Always document agreements
   A short email is sufficient, as long as it is traceable. This prevents discussions and claims.

With these basics, your organization will be well positioned in the event of an audit or dispute. And employees will know where they stand. This creates calm and goodwill.

Conclusion
Outstanding vacation days are only manageable for employers with a strict, demonstrable process. No loose ends. You want this file to hold up when it matters. We ensure your policy, administration, and communication comply with legal requirements and are robust against disputes.
This is something that must be arranged meticulously. Please contact us. Our employment law specialists will be happy to review and consult with you.