Paid leave and sickness: a long-awaited reversal by the French Court of Cassation

French Supreme Court (Labour Chamber), 10 September 2025, n° 23-22732 FPBR

Two years after its landmark ruling of 13 September 2023, which had reshaped French law on the accrual of paid leave during sick leave, the Court of Cassation has continued to align French labour law with EU law. In its decision of 10 September 2025, it addressed a key issue: what happens when an employee falls ill during their annual leave ?

Alignment with EU case law

The Court of Justice of the European Union (CJEU) has long considered paid annual leave as a fundamental social right:

  • In Pereda (CJEU, 10 Sept. 2009, C-277/08), it held that employees must be able to reschedule their leave when it coincides with sick leave.
  • In 2012 (CJEU, 21 June 2012, C-78/11), the Court confirmed this also applies when illness arises during annual leave, stressing the difference between leave (rest and leisure) and sick leave (recovery).

The former French position

Traditionally, French case law held that:

  • If sickness occurred before leave, a postponement was possible.
  • If sickness arose during leave, no postponement was allowed (Cass. soc., 4 Dec. 1996).

This position had become increasingly untenable given EU law and some French courts had already started applying CJEU rulings directly.

The 10 September 2025 ruling

The Courht of Cassation has now ruled that:
“An employee on sick leave due to illness arising during annual paid leave is entitled to postpone the days of leave overlapping with the sick leave, provided that the sick note is notified to the employer.”

The right to paid leave is thus fully preserved, even when sickness occurs during holidays. The postponement is automatic and does not require an explicit request.

This judgment complements the April 22, 2024 law (Labour Code, Art. L. 3141-19-1), which provides for a 15-month carry-over period in cases of inability to take leave due to illness.
However, practical questions remain:

  • Retroactivity of claims (potentially back to 2009 for some employees still in post).
  • Evidence required (medical certificates, sick notes from abroad, social security benefits).
  • Adjustment between paid leave compensation and sickness benefits.

The 10 September 2025 ruling brings French law fully in line with EU requirements. While it strengthens employee rights, it is also likely to trigger litigation over retroactivity, proof of incapacity and the financial reconciliation of past entitlements.