Christmas and Vacation bonus
Personal supplements in Collective Agreements are twofold: On one hand Christmas bonus and on the other hand Vacation bonus.
Below can be found information about bonus amount according to the applicable Collective Agreements.
Vacation bonus
| Agreement | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|---|---|
| Government | 52.000 | 51.000 | 50.000 | 48.000 | 46.500 | 44.500 | 42.000 | 39.500 | 28.700 |
| Municipals | 51.700 | 50.450 | 48.000 | 49.000 | 48.000 | 42.000 | 41.200 | 38.000 | |
| City of Reykjavík | 52.000 | 51.000 | 50.000 | 48.000 | 46.500 | 44.500 | 40.500 | 39.500 | 28.700 |
| SA collective agr. | 52.000 | 51.000 | 50.000 | 48.000 | 46.500 | 44.500 | 42.000 | 39.500 | 21.600 |
Who can claim Vacation bonus?
Employees who are employed for the period of Vacation Accumulation Period (1. of May until 30. of April) shall receive Vacation bonus. The bonus is paid proportionally based on percentage and period of employment, if applicable. Vacation bonus shall be paid 1. of June each year, however, on 1. of May if employed by other municipals than City of Reykjavík.
If employment is terminated during the Vacation
Accumulation Period due to age or after at least 3 months (13 weeks) continuous
employment on the period, the employee shall receive proportional Vacation
bonus based on percentage and period of employment. Same applies when employee
absence is due to sickness/illness leave excised employer payment obligation
period or due to maternity/paternity leave up to six months.
Christmas bonus
| Agreement | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|---|
| Government | 94.000 | 92.000 | 89.000 | 86.000 | 82.000 | 78.000 | 73.600 | 52.100 |
| Municipals | 118.750 | 115.850 | 113.000 | 103.000 | 100.000 | 94.800 |
87.500 | 80.700 |
| City of Reykjavík | 103.100 | 100.100 | 97.100 | 94.300 | 90.700 | 85.600 | 79.500 | 58.000 |
| SA collective agr. | 94.000 | 92.000 | 89.000 | 86.000 | 82.000 | 78.000 | 73.600 | 59.200 |
Who can claim Christmas bonus?
Christmas bonus shall be paid 1. of December each year but arrangements are different between which Collective Agreement applies:
Government and City of Reykjavík
Employer which is employed the first week of November shall receive Christmas bonus 1. of December each year based on full employment on the period of 1. of January until 31. of October. The bonus is fixed amount and is not subjected to increases according to provisions of relevant Collective Agreement. The bonus doesn't include any calculation of Vacation benefits.
The bonus is paid proportionally based on employment period and percentage of employment. If employment is terminated and the employment has been continuous for at least 3 months (13 weeks) she/he shall receive the bonus based on employment period and percentage of employment. Same applies when employee absence due to sickness/illness leave excides employer payment obligation period or due to maternity/paternity leave up to six months.
Association of Icelandic Municipals
Employer in full time employment shall receive the bonus 1. of December each year. Full time employment refers to 100% employment on the period of 1. of January until 30. of November of the same year.
The bonus is paid proportionally based on employment period and percentage of employment, given that employment is continuous from 1. of September. If employment is terminated and the employment has been continuous for at least 6 months she/he shall receive the bonus based on employment period and percentage of employment. This percentage is calculated as proportion of fulltime work for last 12 calendar months of last valid Christmas bonus.
The bonus shall be paid to employees who retired on the year, given that they were employed for at least half of that year. Same applies who have decreased their work participation due to health failure given that a doctor's note is acquired. The amount paid to pensioners shall never exceed the determined full bonus amount. In the mentioned bonus is vacation benefits included and is paid independently and with no connection to salaries.
SA (Confederation of Icelandic Enterprises)
Employees, other than senior superiors, receive the bonus according to applicable Collective Agreement. It's permitted in employment contract to include such bonus into regular monthly salaries or negotiate different payment method.