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Vacations
National Summary
Although there is no federal law that entitles private sector employees to paid or unpaid vacation, most employers do give employees a paid vacation, and most employees consider it to be one of their most important benefits. There is a growing body of state law--an amalgam of statutes and court decisions--that does govern how employers administer vacation time, including whether and how much employees must be paid at termination for accrued but unused vacation. Employers must know their own state laws in order to develop a comprehensive policy covering eligibility, accrual, carryover, forfeiture, administration, pay upon termination, and integration of vacation policy with other state laws, and to ensure strict compliance and consistency of administration. The policy should be communicated to employees at the time they begin work (in a number of states, this is required).
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152238index.aspxQuestions & Answers I have had an exempt employee request additional vacation in lieu of a salary increase this year. Is there any problem with granting this type of request?  National
152213index.aspxQuestions & Answers A company has a policy that applys to employees with >= 10 years of service, is it possible to "Grandfather" this rule to employees who are already over the threshold while removing it for those who are not?  National
152205index.aspxQuestions & Answers A new client has allowed their employees to accrue very large amounts of vacation time. They have asked if companies in their situation claim this accrued vacation time on their financial statements as future liabilites. Any idea?  National
155651index.aspxQuestions & Answers An employee is leaving in August on military leave for 4 Months. Our accrual of vacation time is 2 hours per week. Are we obligated to pay him or let his vacation time keep accruing while he is gone?  National
152221index.aspxQuestions & Answers Any ideas where I can get multi-state information on any laws that may prevent us from implementing a policy to eliminate the use of sick/personal/floating on their last days on the job?  National
152248index.aspxQuestions & Answers Are there any laws in MA regarding vacation pay being computed off of overtime?  National
152217index.aspxQuestions & Answers Are there IRS implications if we allow employees to cash out their earned vacation time?  National
159357index.aspxQuestions & Answers Can a company buy back unused PTO at a 50% rate when the PTO exceeds the 'use it or use it' threshold?  National
152202index.aspxQuestions & Answers Can an employer take a day of vacation away from and employee if they do not call in or request a day off?  National
151541index.aspxQuestions & Answers Can vacation and sick time be charged to exempt employees in hourly increments (less than 8 hours)?  National
152241index.aspxQuestions & Answers Can we dock an employee's vacation by one day in lieu of suspension?  National
152225index.aspxQuestions & Answers Can you make your employees use their PTO time when they take days/hours off? Or do they have the choice to not use their time and take unpaid leave?  National
152215index.aspxQuestions & Answers Can you offer different fringe benefits (example:more paid days off)to exempt employees that are classified Supervisors than you do those classified Foremen?  National
152246index.aspxQuestions & Answers Do employeers have the right to know the exact reason and details of you taking a vacation day?  National
152253index.aspxQuestions & Answers Do you have a policy on carry-over vacation time?  National
152250index.aspxQuestions & Answers Does state law in South Carolina require payout of vacation time in the event of voluntary resignation? (This is for the private sector.) Or if the company closes?  National
152233index.aspxQuestions & Answers Does the law require that we give them pro-rated vacation pay,earned in the present year,for the following year?  National
152231index.aspxQuestions & Answers How should I handle vacation time earned but not taken. We have always paid people for this time. We pay them in Nov or Dec, but it is expensive and a cash flow problem. Do you have any suggestions?  National
152243index.aspxQuestions & Answers How strict can a policy be regarding Personal "prep" days be?  National
152232index.aspxQuestions & Answers I have a question regarding laying someone off and not paying for there entire vacation.  National
152244index.aspxQuestions & Answers I have an employee who wants more time off with pay instead of a salary increase. Is there a way to accommodate that special request?  National
152220index.aspxQuestions & Answers I have received a proposal from an employee to be granted additional vacation days in lieu of a salary increase. Can I make a special arrangement like this with one employee?  National
152227index.aspxQuestions & Answers I just discovered that according to our personal leave time (PLT)procedures our people earn PLT when they are taking PLT. They earn vacation when they are on vacation. Is this a normal procedure?  National
152237index.aspxQuestions & Answers I need to know if Florida and Virgina have state laws that require employers to pay vacation upon termination of employment or is it optional?  National
159230index.aspxQuestions & Answers I’m looking for details on how vacation buy-back plans work, the tax implications, IRS guidelines, etc.  National
152251index.aspxQuestions & Answers If an employee resigns from an agency, and did not comply with company policy to give proper notice, is the agency required to pay accrued vacation payout? Is this considered wages earned or a benefit?  National
152236index.aspxQuestions & Answers If an employee terminates their employment without noti...  National
152219index.aspxQuestions & Answers If person is let go and they are given their final check, will they get paid for vacation? How come they do not get paid for sick if they accrue it? In California.  National
151521index.aspxQuestions & Answers If they temporarily halt operations for that two week period and they have employees that have accrued vacation time, are they required to pay that vacation time or can they pay the vacation time later in the year when they have resumed operations?  National
152229index.aspxQuestions & Answers If this employee terminates his/her employment in July of 2002, do we have to pay him/her accumulative vacation pay from September of 2001?  National
152210index.aspxQuestions & Answers If we have salaried employees who don't have any vacation time remaining and we don't need them to work that week, are we OK (under FLSA guidelines)in not paying them for a "vacation shutdown"?  National
152204index.aspxQuestions & Answers If we require non-exempt employees to take days off without pay because no work is available, are we required by California Law to let them use their accrued vacation pay?  National
152240index.aspxQuestions & Answers If we strictly go by the accurual method employees would not be eligible to take a vacation of any substance (1 week or more) until 4 months into the year. Can you recommend a procedure to elimenate our problem  National
152201index.aspxQuestions & Answers In the state of NC, is it a law that an individual has to be paid for their accrued, unused vacation if they are terminated?  National
152254index.aspxQuestions & Answers In the state of Washington, is a employer required by law to pay out accured vacation time when an employee is terminated, laid off or resigns?  National
152207index.aspxQuestions & Answers Is it legal to grant 2 weeks PTO time with 1 week as sick time. Rather than just straight 3 weeks PTO?  National
152228index.aspxQuestions & Answers Is it standard to pay terminated employees for their unused accrued vacation time, whether or not they quit or are terminated? We are in New York and California.  National
152208index.aspxQuestions & Answers Is Michigan one of these states and how does this law pertain to the calendar (earn and use in one year-no carry overs)?  National
152242index.aspxQuestions & Answers Is sick time and vacation time typically accrued while an employee is on vacation or using sick time?  National
152247index.aspxQuestions & Answers Is there a law in California that states employees have the right to carry over vacation each year?  National
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