Excluding public holidays, around the world workers take about 20 days of leave, leaving 20 per cent unused.
Expedia.co.nz travel expert Kelly Cull said while New Zealanders were aware of the importance of taking holidays, ''they are a guilty pleasure'' rather than something that is needed so they can recharge and be more productive in their jobs.
''A healthy work-life balance is critical, and travel doesn't have to be expensive. Two thirds of New Zealand workers say their bosses are supportive of them taking leave so 2016 should be the year where New Zealanders say yes to getting out there and enjoying their lives outside the office."
Two thirds of New Zealand workers say their bosses are supportive of them taking leave so 2016 should be the year where New Zealanders say yes to getting out there and enjoying their lives outside the office.
Not all unused annual leave days are lost; 26 per cent of New Zealand workers report a desire to "bank" annual leave to use the following year, well above the global average of 19 per cent.
A quarter (27 per cent) of Kiwi workers cite financial concerns as a barrier and a further 23 per cent say their work schedules don't permit taking more annual leave than they do.
Nine in ten of New Zealand's workers "somewhat or strongly agree" they feel happier after a holiday.
More sleep (average 7.7hrs on holiday versus 6.9 hours at home), feeling less stressed (87 per cent) and being more focused at work (80 per cent) were other perceived positive results from having a holiday.
When it comes to how to make the most of annual leave, the global trend, reflected in New Zealand, is to use annual leave throughout the year versus taking one long break.
Half of Kiwi workers (50 per cent) take several short holidays and long weekends, versus 26 per cent who take one long break.
Expedia's Vacation Deprivation study was done last October and surveyed 9273 employed adults across 26 countries in Asia Pacific, Europe, North America and South America.