How vacation entitlement is calculated for DPP and DPČ agreements in the Czech Republic in 2026 (and where companies most often make mistakes)
Since 2024, workers engaged under Czech “agreements outside employment” (DPP and DPČ) may be entitled to paid vacation if statutory conditions are met. In 2026, companies still tend to make the same mistakes – and those mistakes can cost time, money, and create unnecessary employee disputes.
Since 2024, workers engaged under Czech “agreements outside employment” (DPP and DPČ) may be entitled to paid vacation if statutory conditions are met. In 2026, companies still tend to make the same mistakes – and those mistakes can cost time, money, and create unnecessary employee disputes.
In practice, most issues fall into three categories: misjudging when the entitlement arises, miscalculating the number of hours, and incorrect rounding. This article explains the rules in a clear step-by-step way and includes practical examples.
If your business regularly works with DPP/DPČ contractors (seasonal staff, part-time operations, project teams), it is worth implementing a simple internal process to keep calculations consistent. The team at ARROWS can help you set up a compliant HR and payroll workflow, including contract review and internal guidelines.
We have already covered this topic: Watch out for incorrect vacation calculation under DPP/DPČ (CZ)
Quick summary (TL;DR)
- Vacation entitlement under DPP/DPČ arises only if the agreement lasts at least 4 weeks and the worker performs at least 80 hours of work.
- The calculation always uses a fixed “fictional” weekly working time of 20 hours – regardless of the actual schedule.
- Worked hours are divided by 20 and only full “weeks” are counted (the remainder is ignored for this step).
- The final vacation entitlement (in hours) must be rounded up under the Czech Labour Code.
- For DPP, vacation hours generally do not count towards the typical 300-hour cap; for DPČ they generally do count.
Table of contents
Click a section to jump directly to it.
- When vacation entitlement arises under DPP and DPČ
- How vacation is calculated (step-by-step)
- Rounding: the most frequent mistake (and why it matters)
- DPP vs. DPČ: key differences to watch
- Common employer mistakes and how to prevent them
- HR & payroll checklist (practical)
- FAQ – quick answers
- How ARROWS can help
Related practice area: Czech Labour Law | Legal basis: Czech Labour Code
When vacation entitlement arises under DPP and DPČ
Vacation is not automatic under these agreements. Entitlement arises only when two conditions are met at the same time.
1) The agreement must last at least 4 weeks
A DPP or DPČ relationship with the same employer must last at least 4 weeks (28 calendar days). This is based on the duration of the agreement as a legal relationship – it does not depend on whether the worker performed work every week during that time.
If the employer uses consecutive agreements with the same person, it is important to assess continuity and documentation properly. Artificially splitting agreements into short periods purely to avoid vacation obligations is risky and may be challenged in an inspection.
2) The worker must perform at least 80 hours of work
The second condition is that the worker performs at least 80 hours for that employer in the given calendar year. If this threshold is not met, vacation entitlement does not arise.
No. Both conditions must be met: at least 4 weeks of duration and at least 80 worked hours.
How vacation is calculated (step-by-step)
The calculation is built around one key rule: for DPP and DPČ the Czech Labour Code uses a fixed “fictional” weekly working time of 20 hours for the purpose of vacation. This applies regardless of the actual working schedule.
Step 1: Determine the total number of worked hours
Add up all hours actually worked in the calendar year for the relevant employer.
Step 2: Divide by 20 and take only the whole number
Divide the total worked hours by 20. For this step, only the full “weeks” are counted (the decimal remainder is ignored).
- Example: 416 hours ÷ 20 = 20.8 → you count 20 full weeks.
Step 3: Apply the statutory formula
Formula: (number of full weeks) ÷ 52 × (annual vacation entitlement in weeks) × 20
Example (standard 4-week annual vacation entitlement):
15 ÷ 52 × 4 × 20 = 23.0769 hours
Rounding: the most frequent mistake (and why it matters)
This is the point where employers most often fail. The final vacation entitlement (in hours) must be rounded up to whole hours under the Czech Labour Code. Standard mathematical rounding rules do not apply.
- 23.01 → 24
- 23.50 → 24
- 23.99 → 24
If the employer rounds down, the worker receives less than they are entitled to. In practice, this can lead to:
- back payments of vacation compensation,
- employee complaints and disputes,
- higher risk during labour inspections.
DPP vs. DPČ: key differences to watch
From the perspective of vacation entitlement, DPP and DPČ are calculated in a very similar way. However, employers should still be aware of practical differences, particularly around limits and tracking.
DPP (Agreement to Perform Work)
- In practice, DPP is commonly subject to a 300-hour per year cap with one employer (depending on the arrangement).
- Vacation hours generally do not count towards this cap.
DPČ (Agreement on Working Activity)
- DPČ is typically longer-term and therefore vacation entitlement is more likely to arise in day-to-day practice.
- Vacation hours generally count towards the relevant DPČ limits.
No. Under DPP, vacation hours generally do not count towards the cap.
Common employer mistakes and how to prevent them
The same mistakes keep repeating. The good news is that most issues can be solved with a simple workflow: accurate time records, a standardized calculation template, and a control step before vacation is granted.
| Risk | What it causes in practice | How to fix it |
|---|---|---|
| Incorrect rounding | Back payments, employee claims, higher inspection risk | Implement a “round up always” rule in payroll methodology and systems |
| Ignoring the two statutory conditions (4 weeks + 80 hours) | Unjustified denial of vacation, disputes and complaints | Introduce an HR control point: entitlement arises only if both conditions are met |
| Wrong calculation of “full weeks” | Understated vacation entitlement, payroll inconsistencies | Full weeks = (worked hours ÷ 20), using only the whole number |
| Poor time records | Inability to justify calculations in an audit/inspection | Maintain consistent time tracking and payroll documentation links |
| Different practice across teams/locations | Internal HR chaos, inconsistent treatment, reputational risks | Internal guideline + a standardized calculation template and controls |
HR & payroll checklist (practical)
If you want a “no-surprise” approach to vacation under DPP/DPČ, this checklist is a safe baseline:
- Confirm the agreement lasts at least 4 weeks.
- Confirm the worker performed at least 80 hours.
- Add up worked hours and divide by 20 (use only full weeks).
- Calculate vacation using the statutory formula (weeks/52 × entitlement × 20).
- Round up the result to whole hours.
- Confirm whether you are dealing with DPP or DPČ (cap and tracking differences).
- Record the result in the payroll system and apply a control step before vacation is taken.
- When the agreement ends, settle unused vacation properly.
FAQ – quick answers
Is vacation entitlement automatic under DPP/DPČ?
No. Two conditions must be met: the agreement lasts at least 4 weeks and the worker performs at least 80 hours.
Is the calculation based on the actual work schedule?
No. The calculation uses a fixed “fictional” weekly working time of 20 hours.
How must vacation be rounded?
It must always be rounded up to whole hours.
What if an employer uses consecutive agreements with the same person?
You should assess continuity properly and maintain clear documentation. Artificial splitting to avoid vacation obligations is risky.
How ARROWS can help
ARROWS regularly supports employers with setting up compliant DPP/DPČ documentation and HR workflows that work in practice and hold up during inspections. We typically assist with:
- reviewing DPP/DPČ templates and internal policies (including time tracking),
- implementing calculation templates and HR control steps,
- handling employee disputes and claims (vacation, settlements, back payments),
- inspection preparedness and risk minimisation.
If you want to ensure your approach to vacation under DPP/DPČ is fully compliant in 2026, see our practice focus: Czech Labour Law.
Disclaimer: This article is provided for general informational purposes only and does not constitute legal advice. For a tailored assessment, please consult a qualified professional. The legal framework is based primarily on the Czech Labour Code.