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By one holiday, do you mean one-day holiday? I think vacation here just means holiday so it could be of any length of time, we just couldn't tell how long from that sentence alone.
I believe that this use of "vacation" is a US use. You can have a mini-vacation of just a couple days or a nice long vacation of a few weeks.
Hi Barb, it's good to see you as well. I come here from time to time actually; I just don't have much to add to your, and the other gurus', already great contributions
Hi LiJ
As Barbara said 'vacation' is AmE; 'holiday' is BrE.