Holiday pay is compensation employees may receive for time off on recognized holidays (like New Year’s Day or Diwali) or extra pay for working on those days, such as premium rates like time-and-a-half. In many countries, private employers are not legally required to offer paid holidays or premium holiday pay unless labor laws, employment contracts, union agreements, or company policies say otherwise. Government holidays may have special rules for public-sector workers, and some regions mandate benefits for certain employees, so eligibility depends on local law and employer policy.