The Welfare Committee has decided in cases 521, 530, 534 and 616/2021 that the holiday and holiday allowance should not result in a reduction in the partial allowance in the month in which the payment of the holiday was made. The decision affects, among other things, payments to those individuals who received paid cumulative holiday, holiday allowance or December allowance while they were on partial allowance in 2020 and 2021. You can read the committee’s ruling on the website of the Government of Iceland

In light of the committee’s rulings, the Directorate of Labour has started work to review cases where an employee may possibly be entitled to a recalculation because of these rulings. The Directorate will contact those who may be entitled to a correction by publishing a notice to that effect on My pages and sending an e-mail and text message that they have received a message about this.