Tormod Johansen
Director
The Annual Leave Act provides employers with limited access to change scheduled vacation – but only when strict conditions are met. Here is an overview of what actually applies
When is it permitted to change an employee’s vacation?
You’ve planned the holiday schedule and approved employee requests. Everything is set for a smooth summer – until an unexpected situation arises that requires more staff at work.
But can you, as the employer, change or interrupt an employee’s vacation?
The answer is yes – but only under certain conditions.
Section 6 (3) of the Annual Leave Act permits the employer to change the timing of vacation if:
An unforeseen event occurs
This results in significant operational difficulties
It is not possible to find a replacement
The change has been discussed with the employee
All of these conditions must be met for the employer to be entitled to make changes to the employee’s vacation.
Before an employer can change an employee’s vacation, it is also a requirement that it is not possible to appoint a substitute for the employee who was scheduled to take leave.
The employer has a comprehensive duty to investigate the possibility of finding a replacement. This means the employer must explore options both internally within the organisation and externally outside the company.
In cases where a substitute is found, but this person does not fully replace the employee on leave, this may nevertheless reduce the operational difficulties from being significant to no longer being considered significant. In such circumstances, the conditions for changing the vacation are not fulfilled
It must be a situation that the employer cannot control and that could not have been foreseen when the original vacation schedule was set.
Employee resignation or sickness is generally not considered an unforeseen event. These are not extraordinary circumstances and are deemed situations that the employer must be prepared for. However, there may be cases where sickness or resignation results in significant operational difficulties, in which case the situation may be assessed differently
The unforeseen event(s) must cause significant operational difficulties for the employer if the employee’s planned vacation proceeds as scheduled. These difficulties must impact the company’s operations or core activities – not merely create inconvenience.
The Annual Leave Act does not define this in detail, meaning that the assessment must be made on a case-by-case basis. However, the operational issues must be of considerable scope and potentially have major or serious consequences for the employer.
Obligation to discuss with the employee
The employer must discuss the change of vacation with the employee before making a decision. The employee is entitled to be accompanied by a union representative during the meeting.
At the same time, the employee must provide information regarding any additional expenses, such as:
Cancellation fees
Extra costs associated with rebooking travel
Higher prices for the new vacation period (must be documented)
Employer must compensate additional costs
If the vacation is lawfully changed, the employer must compensate documented additional expenses. This does not apply to loss of welfare, inconvenience, or similar. Compensation covers expenses for the employee and their immediate family (spouse, children, and cohabiting partner with shared finances).
The Annual Leave Act protects employees against changes to scheduled vacation – and it takes a great deal for an employer to lawfully interrupt or reschedule planned leave. It requires a genuine unforeseen event, significant operational difficulties, no available substitute, as well as discussion with the employee and compensation for incurred expenses.
Director