Even though it is quite common among companies, collective vacations generate many doubts for both HR and other employees. With that in mind, today's article will talk about collective vacations, their importance and points that need a lot of attention. Good reading!
Understand everything about collective vacations
Check below the topics that explain what collective vacations are, who is entitled, how to calculate and why this benefit is so important for your company.
What are collective vacations?
The term collective vacation qualifies the period of paid rest that is generally granted to all workers in a company, or a given sector, simultaneously.
According to Art 139 of CLT, “Collective vacations may be granted to all employees of a company or certain establishments or sectors of the company”.
The law further says that:
“§1º – Vacations may be taken in 2 (two) annual periods, provided that none of them is less than 10 (ten) consecutive days.
- 2 – For the purposes provided for in this article, the employer shall communicate to the local agency of the Ministry of Labor, at least 15 (fifteen) days in advance, the dates of the beginning and end of holidays, specifying the establishments or sectors covered by the measure.
- 3rd – In the same period, the employer will send a copy of the referred communication to the unions representing the respective professional category, and will provide for the setting of notice in the workplaces. ”
Why take a collective vacation?
Because the collective vacation can be part of a company strategy to minimize or solve some specific problems. In times of difficulty, it is also a way to reorganize and avoid layoffs.
Depending on the area of operation and at certain times of the year, business can fluctuate both in deliveries and in revenues. In such cases, discontinue activities and grant collective vacation it can be a good way to reduce expenses and control expenses.
Collective holidays do not have a limited duration and can last as long as the company decides, as long as they have at least 10 days of rest. The collective vacation days are deducted from the employee's individual vacation and are paid in advance to employees who have not yet acquired vacation.
In most cases, companies stop on the last business day of the Christmas week and amend until the first business day of the following year. As an example, consider the calendar below:
Image: Blank Calendar
In the example above, the company stopped working on 12/23/2021 and returned on 04/01/2021. In other words, employees had 11 days of collective vacation.
In the case of individual vacations, the likelihood of two or more people in the same sector obtaining their rest period together is very low. One of the main reasons for this not happening is the concern to respect the deadlines and activities that can be compromised in the simultaneous absence of these employees.
If your company does not comply with the rules, you may be fined and forced to pay double the vacation or, in more severe cases, be subject to civil lawsuits for moral damages.
Heads up: the value of fines may increase if violations are found during possible inspections.
Therefore, it is important to follow the rules, even if it minimizes the flexibility of your employees. In general, processes demand money, time and energy, mainly on the part of the company.
The ancients used to say that “cheap is expensive”. So it is! Choose to act correctly, even if you have the feeling of spending more. Know that the value of a process can be greater than the vacation expenses of employees.
Who is entitled to collective vacation?
All company employees are entitled to collective vacations. However, the company has the option to determine the collective stoppage only for some areas, which do not offer risk, as we mentioned in the previous paragraph.
Imagine a TV station, for example. Although most programs are recorded before the collective vacation period, specific professionals are required for the programs to be broadcast on televisions during that period.
There is also the possibility of rotating between teams that need to work in this cycle. The important thing is that, when offering collective vacations to an area, all professionals are able to enjoy the benefit.
For employees who have not yet completed a year of service at the company, vacations are proportional to the time worked. However, when collective vacations directly imply the interruption of activities, these professionals benefit as well as the others.
After all, they are unable to keep their services at the company's disposal, and the extra days are recorded as paid leave. After the collective vacation, the counting for the next period starts from zero.
How to calculate collective vacations?
To start, you must add the employee's base salary and add everything he received in the last 12 months. Consider overtime, bonuses, commissions, etc. in this account.
Once this is done, divide the amount obtained by 12 and then add the value for ⅓ of the vacation. That way, you will arrive at the amount that must be paid to the employee. In summary: pay the average earnings for the last 12 months.
In theory it is something simple, but it is not difficult to get lost, especially when the employee's remuneration is variable.
How is the collective vacations communicated?
Unlike individual vacations, the company is not obliged to communicate collective vacations to the worker 30 days in advance. However, CLT recommends that, 15 days in advance, the employer notify the Regional Labor Office (DRT), as well as all company employees, and send a copy to the unions representing the professional categories involved,
What are the exceptions to the rule on collective vacations?
Under UK residents law, employees who are under the age of 18 or over and those over 50 have different rights than other employees. They are required to take 30 days of vacation, uninterrupted.
If the collective vacation lasts less than 30 days, it is necessary that the employee amend their individual vacation together with the collective vacation, so that the rest period totals 30 days.
Even in these cases, if the company takes collective vacations divided into two periods or more, it is necessary that the 30 days are rested in a single period and during the second period they are on paid leave.
In addition, minors under 18 have the right to take a vacation coinciding with school holidays according to article 136 of the CLT. That is, if the collective vacations do not coincide, you must register as paid leave as well.
Collective vacations are a great idea for times of low movement or when you need to reduce production. As much as you still spend on the third of holidays, as the calculation is the same as that done on individual holidays, not having to spend on infrastructure or material that would be used for nothing can yield good savings in times of crisis.
Now that you know how collective vacations work, we recommend that download our eBook: Vacation Without Stress!
With it, you learn all the vacation rules, how and when to book, as well as how to calculate the payment. Find out everything about purchasing period, concession period, vacation notice, fractionation, vacation sale and much more.