Vacationing in prison? The impact of serving a prison sentence on the calculation of the delinquent employee’s holiday entitlement

Vacationing in prison? The impact of serving a prison sentence on the calculation of the delinquent employee’s holiday entitlement

August 19, 2026
6 minutes

KEY FACTS

Serving a prison sentence does not constitute grounds for the compulsory suspension of annual leave that has already been granted.

Time spent in prison does not count toward time worked for the purposes of annual leave.

Entitlement to annual leave is recalculated on the basis of the time actually worked during the relevant calendar year.

If an employee has taken more annual leave than they were actually entitled to for the year in question, they must repay the holiday pay received.

Whilst serving a prison sentence, annual leave may only be granted at the employee’s express request.

A scenario in which an employee begins serving a prison sentence during the course of the year raises a number of practical questions for the employer regarding annual leave.

An employee has been ordered to serve their sentence of imprisonment. How does this affect their entitlement to annual leave? Is their annual leave suspended? Is a convicted employee entitled to annual leave whilst serving their  sentence?

Suspension of annual leave

Recalculation of holiday entitlement

Previously, serving a prison sentence was a ground for curtailment of the imprisoned employee’s holiday entitlement, but this is no longer the case – reductions can now only be applied for unauthorised absences.

The current approach to holiday entitlement is based on time actually worked.

The period of imprisonment is not counted as time worked nor as a qualifying obstacle to work. Employees therefore do not accrue the full annual entitlement, but only a proportionate part thereof corresponding to the time actually worked; the entitlement must therefore be recalculated.

Taking leave in excess of entitlement and repayment of holiday pay

  • If the employer has authorised the employee to take leave equivalent to their full annual entitlement before the employee begins serving their sentence, it may subsequently transpire that the employee has taken more leave than corresponds to their actual (pro-rated) entitlement. In such a case, the employee is obliged to repay the portion of the holiday pay already paid for leave to which they were not entitled.
  • Conversely, if, following the recalculation of the holiday entitlement, part of the leave remains, the entitlement is retained by the employee and, in the event of termination of the employment relationship, the employer is obliged to pay this entitlement to the employee in the form of holiday pay.

Allocation of annual leave whilst serving a prison sentence

Whilst serving a prison sentence, the employer may only allocate the remaining annual leave at the express request of the employee. However, the employer is not obliged to grant this request.

Author: Matěj Rendl, Junior Associate, Employment, LYNX Czech Republic

Source: Labour Code (Act No. 262/2006 Coll.)

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