Is zakat due on funds designated for workers' rights, such as for vacations and end-of-service benefits?

If the funds belong to private entities (such as companies), Zakat is obligatory on the entity that owns the money. As for the employee responsible for safeguarding it, he is not obligated to pay Zakat on it, unless he is delegated to do so as an agent for the owning entity. In that case, he pays a quarter of a tenth (2.5%) upon the completion of the hawl (one lunar year). However, if the funds belong to public money, there is no Zakat on them.