Brussels, 20/07/2016 (Agence Europe) - In a decision made on Wednesday 20 July, the Court of Justice of the EU asserted that a worker has the right to financial compensation if he has not used up all or some of his right to annual paid leave, even if he himself has put an end to the work contract in question.
In Case 341/15, the Court had another opportunity to consolidate its interpretation of EU law in the area of working time. In previous rulings delivered successively in 2009 (EUROPE 9822) and 2012 (EUROPE 10609), it explained the scope of the directive on the organisation of working time (2003/88/EC) by stipulating that sick leave should not affect the workers' access to paid holidays and annual paid leave that are not taken, which effectively provides the right to a financial allowance.
In today's case, the Court examined a case that combined the two previous cases. This case involves a civil servant who requested early retirement. Before taking his retirement, he did not work due to sickness and did not attend work, whilst receiving his salary in agreement with the employer. After retiring, he asked his employer to pay him an allowance in lieu of paid annual leave not taken, claiming that he had fallen ill again shortly before he retired. His employer refused his request on the grounds that, according to the rules on the remuneration of civil servants of the city of Vienna, a worker who, at his own request, terminates the employment relationship - particularly because he applies for retirement - is not entitled to such an allowance.
The Court considers that such a regulation is incompatible with Union law. The reason why the work relationship ended is not important due to the right each worker has in benefiting from annual paid leave or if he has not been able to use it, he is entitled to a financial allowance. With regard to the request from the interested party to be compensated for the period preceding his effective retirement, it will be up to the national courts to determine whether he was in fact ill. It is the last reason alone that could possibly justify the payment of a financial allowance. (Original version in French by Jan Kordys)