Reference decision: cc • No. 06-46.366 • 2008-06-05 • View the decision →
Imagine: you are a teacher in a building trade apprentice training centre (CFA) in Biarritz. Each summer, you benefit from 70 days of leave, as provided by your collective agreement. But when it comes to calculating your paid holiday allowance (the amount the employer pays you during your holidays), the employer deducts public holidays and Sundays falling within that period. Result: your allowance is lower. Is this legal? This is the question the Court of Cassation decided on 5 June 2008. And its answer is clear: no. The calculation must be made on the basis of 60 days of paid leave, without taking into account the exact nature of the days.
For property owners or real estate professionals, this decision may seem far from your concerns. But it illustrates a fundamental principle of labour law: the paid holiday allowance must be calculated according to the method most favourable to the employee. And this principle has concrete implications, including for landlords who employ staff or for building companies that manage CFAs. In this article, I will explain this decision as if I were telling you about it over a coffee, Place Clémenceau in Pau.
So, what exactly does this judgment say? That the employer must apply a ratio of 60/30th (60 days of leave over 30 working days as a base), without having to check whether public holidays or Sundays are included in the 70 contractual days. In other words, the allowance is calculated on a flat-rate basis, without distinguishing between working days and non-working days. This can significantly increase the amount owed.
The facts: a story that happens every day
Mr Dupont (a pseudonym) is a teacher in a building trade CFA based in Pau. Like all his colleagues, he benefits from the collective agreement of 22 March 1982, which provides for 70 days of leave per year for teaching staff. These 70 days include both statutory leave (that provided for by the Labour Code, i.e. 30 working days) and additional leave granted because of the teaching role.
When Mr Dupont goes on holiday in summer (from 13 July to 1 September, as provided by the agreement), he therefore takes his 70 days. But his employer, the association managing the CFA, calculates his paid holiday allowance by deducting public holidays (such as 14 July or 15 August) and Sundays falling within that period. Result: instead of paying 70 days, the employer only pays the actual working days, about 50 days. Mr Dupont considers this unfair: he has taken 70 days of leave, so why should he not be compensated on that basis? He therefore refers the matter to the employment tribunal.
The employment tribunal in Pau rules in favour of the employer, upheld by the Court of Appeal of Pau. According to the appeal judges, the exact number of working days of leave taken by each employee must be determined, excluding public holidays and Sundays. The case then goes to the Court of Cassation. And then, surprise: the highest court quashes the Court of Appeal's decision. It considers that the calculation must be made on the basis of 60/30th, without having to exclude public holidays or Sundays. Why? Because the collective agreement provides for a flat-rate of 70 days, and the allowance must be calculated globally, without distinguishing according to the nature of the days.
What few people know is that this judgment was given in a context where many building trade CFAs applied different calculation methods. Some paid on 70 days, others on less. The Court of Cassation therefore wanted to harmonise practices by imposing the method most favourable to employees. But be careful: this decision only concerns building trade CFAs subject to this collective agreement. For other sectors, the rules may be different.
The reasoning of the court — broken down
To understand the decision, we must delve into the texts. Article L. 3141-22 of the Labour Code (formerly L. 223-11) provides that the paid holiday allowance is equal to one-tenth of the remuneration received during the reference period, or to the remuneration the employee would have received if he had worked (salary maintenance method). The employee benefits from the most favourable method. Furthermore, Article L. 3141-3 (formerly L. 223-2) sets the duration of leave at 30 working days for a year of actual work.
But the collective agreement of 22 March 1982, in its Article 209, grants teachers 70 days of leave per year. The question was: how to calculate the allowance on these 70 days? Should all days be taken into account, or only working days? The Court of Appeal of Pau chose the second option: it considered that only working days should be compensated, because public holidays and Sundays are non-working days which do not give rise to an allowance.
The Court of Cassation does not share this view. It recalls that the paid holiday allowance must be calculated according to the method most favourable to the employee. In this case, the collective agreement provides for a flat-rate of 70 days "working or not". This means that the 70 days are a global duration of leave, which necessarily includes public holidays and Sundays. If these days were to be excluded, the number of compensated days would be reduced, which would be less favourable. Therefore, to respect the principle of favour, the employer must calculate the allowance on the basis of 60 days (the 30 statutory days increased by 30 additional days) compared to 30 working days as a base. In short, a coefficient of 60/30, i.e. 2, is applied, which doubles the allowance compared to an ordinary employee.
The Court of Cassation therefore quashed the judgment of the Court of Appeal of Pau, finding that it had violated Articles L. 223-11 and L. 223-2 of the Labour Code (now L. 3141-22 and L. 3141-3). This decision is a partial reversal: previously, some appeal courts accepted the method of deducting public holidays. Now, the flat-rate method is mandatory for building trade CFAs.
In other words, the judges considered that the collective agreement intended to grant an additional benefit to teachers, and that this benefit should not be reduced by a pedantic calculation. A victory for employees, but one that may surprise employers, especially in a context of cost control.
What this changes for you — concretely
If you are a teacher in a building trade CFA, this decision is excellent news. You can claim a back payment of paid holiday allowance if your employer applied a less favourable calculation method. For example, if you received an allowance calculated on 50 days instead of 60, you are entitled to a supplement. However, be careful: the limitation period for salary claims is 3 years (Article L. 3245-1 of the Labour Code). If your employer has miscalculated for more than 3 years, you can only claim for the last 3 years.
If you are an employer (association managing a CFA, or building company that runs a CFA), you must review your calculation method. Otherwise, you may have to pay back pay with interest. Concretely, for a teacher earning €2,500 gross per month, the annual paid holiday allowance (calculated on 60 days) will be about €5,000 (€2,500 x 2), instead of €4,166 if you calculated on 50 days. That is an additional cost of €834 per employee per year.
If you are a real estate professional (landlord, developer, etc.), this decision concerns you less directly. But it reminds us of a general principle: any collective agreement or company agreement must be applied in the sense most favourable to the employee. If you employ staff (building caretaker, concierge, etc.), check the applicable collective agreements. For example, the real estate collective agreement provides for additional leave for seniority. Their calculation must follow the same logic.
Finally, if you are an employee in another sector, this decision may inspire you. Check your collective agreement: if it provides for additional leave days, the allowance must be calculated on the total number of days, without deducting public holidays included therein.
Four tips to avoid this type of dispute
- Check your collective agreement: Take the time to read the provisions relating to paid leave. If your agreement provides for a number of days higher than the statutory 30 days, ensure that the allowance is calculated on the basis of that number, without deducting public holidays or Sundays.
- Keep your payslips: Keep your payslips for at least 5 years. In the event of a dispute, they will serve as proof to demonstrate the calculation method applied by the employer. You can then claim back pay if necessary.
- Ask your employer in writing: If you have any doubt about the calculation of your leave, ask in writing (email or registered letter). The employer must reply, and their reply may be used in court. It is a simple way to clarify the situation.
- Consult a lawyer lawyer: If you notice a calculation error, do not wait. A labour law lawyer can assess your rights and take summary proceedings (urgent procedure) or proceedings on the merits. In Pau, Biarritz or elsewhere, an initial 30-minute consultation can save you months of proceedings.
Further reading: related case law and developments
This 2008 decision is part of a line of Court of Cassation decisions favourable to employees in matters of paid leave. For example, in a judgment of 13 February 2013 (No. 11-28.884), the Court ruled that additional days of leave for splitting must be compensated according to the same rules as main leave. In other words, the employer cannot apply a reduced rate.
More recently, in 2021, the Court of Cassation recalled that the paid holiday allowance must include all bonuses and allowances related to the employee's activity (judgment No. 19-23.482). This reinforces the idea that the calculation must be as favourable as possible.
However, the 2008 decision is specific to building trade CFAs. For other sectors, collective agreements may provide for different mechanisms. For example, in the civil service, the calculation rules are different. You must always refer to the applicable text.
undefined, I have come across cases where employers tried to apply a calculation method pro rata to working days (excluding Saturdays, for example). The case law is consistent: the Labour Code refers to working days (Monday to Saturday), unless there is a more favourable contractual provision. The 60/30th method is therefore an application of this principle.
Frequently asked questions
What is the 60/30th ratio? It is a method of calculating the paid holiday allowance which consists of multiplying the monthly salary by 60/30, i.e. by 2. It applies when the collective agreement grants 60 days of leave (30 statutory + 30 additional) on a basis of 30 working days.
Can I claim back pay if my employer miscalculated my leave? Yes, within the 3-year limitation period. You must prove that the calculation was erroneous. Keep your payslips and contact a lawyer to assess your rights.
What are the time limits for taking action? You have 3 years from the date the allowance becomes due. For paid leave, the due date is 31 May of each year (the date on which leave is acquired). For example, for leave in 2023, you can act until 31 May 2026.
Does this decision apply to sectors other than building trade CFAs? No, it is specific to the collective agreement of 22 March 1982. But the principle of favour (most favourable calculation) is general. Check your own collective agreement.
What if my employer refuses to rectify the calculation? Refer the matter to the employment tribunal. You can apply for an interim order to obtain a provisional payment (advance on the amount due). A lawyer will help you prepare your file.
Are you in a similar situation? A 30-minute initial consultation with Maître Zakine (€45) can save you months of proceedings — and often much more. Book an appointment →
📌 Does this apply to your situation? Maître Cécile Zakine, French real estate lawyer, practises throughout France.
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