The Supreme Court (Rev2 2673/2022, 5 Sept 2024) ruled that an employee is entitled to compensation for 55 unused leave days that could not be taken due to temporary inability to work before employment termination.
However, this interpretation appears to conflict with the Labour Law, which limits the use of annual leave to the calendar year (or by June 30 of the following year), with exceptions only for maternity and childcare, as well as special childcare leave. The Ministry of Labour has confirmed this position in its opinions.
If broadly applied, the Court’s stance could lead to unlimited carry-over of unused leave – something not envisaged by the legislator.
This case highlights the ongoing tension between statutory rules and judicial interpretation in Serbian labor law.
More on the above in the article prepared Partner Jelena Nikolić from JPM Belgrade office.
