The Ultimate Guide to International Leave Laws

Why understanding international leave laws matters

Paid leave is one of the most complex parts of global employment compliance. Every country defines and regulates it differently, covering vacation time, public holidays, sick leave, family-related absences, and more. For companies with distributed teams, keeping track of these rules is critical to avoid violations and maintain fair, consistent policies.What counts as “standard” leave in one country may be considered below the legal minimum in another. In France, for instance, employees receive a minimum of five weeks of paid vacation each year. In the United States, there is no federal requirement for paid vacation, leaving it to employer policy. Meanwhile, countries like Japan and Germany have laws mandating both paid annual leave and national holidays.When teams span multiple jurisdictions, a one-size-fits-all approach simply does not work.Plane’s global hiring and payroll platform helps companies stay compliant by making sure that our employment contract templates follow all local laws, including leave laws.

Types of leave covered under international labor law

1. Annual leave

Most countries require employers to offer a set amount of paid vacation each year.

European Union: The EU Working Time Directive guarantees at least four weeks of paid annual leave (EU Commission).

Brazil: Workers are entitled to 30 days of paid annual leave after one year of service (Ministério do Trabalho e Emprego).

Japan: Employees accrue a minimum of 10 paid vacation days after six months of continuous work (Japan Ministry of Health, Labour and Welfare).

Companies operating internationally must align their policies with at least the legal minimums required by law, but we typically recommend they consider offering more generous leave policies to attract and retain team members.

2. Sick leave

Paid sick leave requirements vary widely.

United Kingdom: Employees receive Statutory Sick Pay for up to 28 weeks if they meet eligibility criteria (GOV.UK).

Germany: The Entgeltfortzahlungsgesetz mandates six weeks of full-pay sick leave, after which social security or health insurance may cover additional compensation (Bundesministerium für Arbeit und Soziales).

United States: No federal sick leave requirement exists, though many states and cities have local laws, and the Family and Medical Leave Act (FMLA) allows up to 12 weeks of unpaid leave for certain family and medical reasons (U.S. Department of Labor).

To maintain equity across global teams, companies may standardize a minimum sick leave policy that exceeds local requirements.

3. Parental and family leave

Parental leave policies are among the most variable across countries, covering maternity, paternity, and shared family leave.

Canada: Parents can take up to 18 months of combined leave, partially funded through Employment Insurance (Government of Canada).

Sweden: Each parent is entitled to 240 days of paid parental leave, funded through the national insurance system (Försäkringskassan).

Singapore: Maternity leave covers 16 weeks for citizens, with shared parental leave available for fathers and partners (Ministry of Manpower Singapore).

Failing to meet local parental leave standards can result in penalties and reputational damage, particularly in regions where family leave rights are strongly protected.

4. Public holidays

Some countries guarantee a minimum number of paid public holidays, while others allow employers to determine which ones are observed.For instance, India recognizes three national holidays but allows each state to add several more. Australia provides at least 8 national holidays annually.

How to build a global leave policy that works

Creating a consistent yet compliant global leave policy requires balancing three principles:

Compliance first: Always meet or exceed the local statutory minimum.

Equity and fairness: Offer similar value across regions, even when laws differ (and, of course, making sure you’re at least meeting the statutory minimum).

Automation and transparency: Use software to manage accruals, approvals, and reporting.

Step 1: Centralize data

Map leave entitlements for every country where your team operates. Tools like Plane automatically maintain up-to-date local rules so your HR team does not need to track legislative changes manually.

Step 2: Standardize global minimums

If one country requires 25 vacation days but another requires 15, offer 25 globally. A single, equitable policy avoids internal tension and reduces manual exceptions.

Step 3: Communicate clearly

Employees should always know how much leave they are entitled to and how to request it. Transparent policies build trust and reduce confusion.

Common compliance pitfalls in global leave management

Ignoring local carry-over rules: Some countries, such as Germany, require unused vacation to roll over to the next year under certain conditions.

Incorrect holiday pay calculations: Overtime or commission earnings often need to be included in leave pay in the UK and EU.

Unequal treatment of contractors: While contractors may not qualify for employee benefits, they must still have clear contract terms to avoid misclassification. See our contractor misclassification guide.

Manual tracking errors: Using spreadsheets for leave management often leads to missed entitlements or non-compliance.

Why automation is the key to compliance

Keeping up with changing leave laws is nearly impossible without automation. Regulations evolve every year, especially around parental benefits and flexible working rights.Plane simplifies compliance by:

Automatically applying local statutory leave requirements to every new hire

Storing documentation for audits and legal reviews

With automation in place, HR teams can spend less time verifying laws and more time supporting employees.

Conclusion: manage global leave with confidence

Managing leave across borders is one of the hardest parts of international HR. Each country has its own definition of fairness, balance, and family support. Without the right systems in place, small mistakes can quickly become compliance violations.Plane brings structure, transparency, and automation to global leave management. From onboarding to beyond, every local rule is built into the platform, helping you protect your business and create a consistent experience for your team.Explore how Plane simplifies global hiring, payroll, and compliance at plane.com.