Can unused annual-leave days be paid out in cash?

Quick answer

  1. No, unused leave days cannot be paid in cash while the contract is still active.
  2. Annual leave must be taken in kind, as time off, not converted into money.
  3. Unused days may be carried over and granted within the next 18 months.
  4. Cash compensation is allowed ONLY upon termination of the employment contract.
  5. On termination, all remaining unused leave days are paid out.

What the law says

  • Art. 146 Labour Code: annual leave is taken in kind, each year.
  • Cash compensation is permitted only upon termination of the individual employment contract.
  • Unused leave is granted within the next 18 months for a justified reason.
  • The employer must actually grant the leave in the year the right arises.
  • Compensatory pay on termination covers all remaining unused days.

Practical examples

  • Example: an employee with 7 unused days at year-end cannot get them in cash while still employed.
  • Example: the 7 days are carried over and must be granted within the next 18 months.
  • Example: on resignation with 7 days left, the employer pays compensatory pay for all 7.
  • Example: at a daily average of 285 lei, compensating the 7 days on termination is ≈ 1,995 lei.

Common mistakes

  • Paying unused leave in cash during the contract instead of actually granting it.
  • Losing unused days at year-end, with no carry-over within 18 months.
  • Not paying compensation for the days remaining at termination.
  • Forcing the employee to give up leave for a sum of money, which is unlawful.

How 4softhr helps

  • 4softhr keeps the exact unused-day balance and blocks cash compensation during the contract.
  • It marks carried-over days and tracks the 18-month deadline for actually granting them.
  • It automatically computes the compensatory pay for days remaining at termination.
  • It alerts managers about days that must be taken before the carry-over expires.
  • It syncs the leave balance with final settlement and payroll in the 4b2b ecosystem.
4b2b.net
Ekosystem biznesowy
4conta.ro
Księgowość
4invoices.net
Aplikacja do fakturowania
4expenses.net
Zarządzanie wydatkami
4notify.net
Powiadomienia
4hosting.net
Hosting
4database.net
Bazy danych
4buildsite.net
Kreator stron
4myapp.net
Kreator aplikacji
4avatars.net
Awatary AI
4chaty.net
Chatbot AI
4webagency.net
Oprogramowanie dla agencji web
4softedu.net
Strony dla edukacji
4softcrm.net
Platforma CRM
4softerp.net
System ERP
4softhr.net
Zarządzanie HR
4mystaff.net
Portal pracowników
4myprojects.net
Manager projektów
4mycontracts.net
Umowy
4docs.net
Zarządzanie dokumentami
4appointments.net
Rezerwacje
4marketingonline.net
Marketing
4insurance.net
Ubezpieczenia
4property.net
Nieruchomości
4lawyers.net
Oprogramowanie prawne
4mygarage.net
Warsztat samochodowy
4driving.net
Szkoły jazdy
4fleet.net
Zarządzanie flotą
4myevents.net
Wydarzenia
4therapy.net
Terapia
4clinics.net
Kliniki
4dental.net
Gabinety stomatologiczne
4restaurants.net
Restauracje
4beautify.net
Salon piękności
4gym.net
Siłownie
4guards.net
Firmy ochroniarskie
4softvet.net
Gabinety weterynaryjne
4softauto.net
Oprogramowanie dla branży motoryzacyjnej
4construct.net
Firmy budowlane
4marketplace.net
Marketplace
4shopy.net
Sklep internetowy
4pricing.net
Porównywarka cen
4salefood.net
Dostawa jedzenia
4rentify.net
Wynajem
4transports.net
Transport
4agencytravel.net
Biuro podróży
4hotel.net
Zarządzanie hotelem
4ong.net
Zarzadzanie NGO