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National Summary
There is no federal law that entitles private sector employees to paid or unpaid vacation; nonetheless, most employers do give employees time off for vacation, and employees generally consider this to be one of their most important benefits.
Though there is no federal vacation law, there is a steadily growing body of state law—an amalgam of statutes and court decisions—that controls how employers administer vacation time, including whether and how much employees must be paid at termination for accrued but unused vacation.
Employers must know the laws in their state(s) of operation in order to develop a comprehensive, compliant 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.
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159154tools.aspxPolicies Vacation 03/07/2016National
167728surveys.aspxSurveys Paid Time Off Practices Survey Data - 2013 10/17/2013National
167727surveys.aspxSurveys Paid Time Off Practices Survey Summary - 2013 10/17/2013National
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? 12/18/2009National
159230index.aspxQuestions & Answers I’m looking for details on how vacation buy-back plans work, the tax implications, IRS guidelines, etc. 08/11/2009National
156495index.aspxAnalysis Vacations 03/04/2009National
156062index.aspxQuestions & Answers We accrue our vacation time, but employees can take their vacation time at any time. For example, they can take a week vacation in January even though they do not have that time accrued yet. If an employee voluntarily leaves and they have taken more 07/17/2008National
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? 08/07/2007National
153016tools.aspxPolicies Personal Holiday Guidelines 09/19/2003National
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? 07/22/2003National
152253index.aspxQuestions & Answers Do you have a policy on carry-over vacation time? 06/18/2003National
152252index.aspxQuestions & Answers Upon termination of an employee for unacceptable performance, is the employer compelled by law in the state of Washington, to pay employee any unused vacation or sick leave time? 06/03/2003National
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? 05/16/2003National
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? 05/14/2003National
152249index.aspxQuestions & Answers What is the current thinking behind not having a vacation/sick/holiday accural system and wrapping all the time up into an hour bank that the employee can manage as they need to? 05/13/2003National
152248index.aspxQuestions & Answers Are there any laws in MA regarding vacation pay being computed off of overtime? 05/08/2003National
152247index.aspxQuestions & Answers Is there a law in California that states employees have the right to carry over vacation each year? 04/25/2003National
152245index.aspxQuestions & Answers Is there a way to limit accrued PTO upon termination? 04/08/2003National
152246index.aspxQuestions & Answers Do employeers have the right to know the exact reason and details of you taking a vacation day? 04/07/2003National
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? 04/04/2003National
152243index.aspxQuestions & Answers How strict can a policy be regarding Personal "prep" days be? 04/03/2003National
152242index.aspxQuestions & Answers Is sick time and vacation time typically accrued while an employee is on vacation or using sick time? 03/27/2003National
152917tools.aspxForms Request for Days Off 03/21/2003National
152241index.aspxQuestions & Answers Can we dock an employee's vacation by one day in lieu of suspension? 03/19/2003National
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 03/13/2003National
152239index.aspxQuestions & Answers Sick and vacation have been accruing incorrectly. Are we required to keep the levels at the incorrect amt. because it has been going on for a LONG time? 02/03/2003National
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? 01/28/2003National
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? 12/12/2002National
152216index.aspxQuestions & Answers We have switched our vacation earnings from a June 1st date to now, employee date of hire. We are trying to figure how to calculate the earnings for the first year. 11/18/2002National
152223index.aspxQuestions & Answers We have an exempt employee who took too many days of vacation. Can we ask the employee to take 3 days off without pay and violate exempt status under Wage and Hour? 11/07/2002National
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? 11/05/2002National
152214index.aspxQuestions & Answers We are looking at combining vacation leave and sick leave. Any information on the costs and or benefits of such a combined leave program? 11/02/2002National
152212index.aspxQuestions & Answers What is the law regarding exempt salary employees and vacation/sick time? 10/29/2002National
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? 10/22/2002National
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)? 10/22/2002National
152217index.aspxQuestions & Answers Are there IRS implications if we allow employees to cash out their earned vacation time? 10/08/2002National
152234index.aspxQuestions & Answers Processing vacation to a 100% commission sales force on voluntary termination. When is it required to be paid to the employee? 09/17/2002National
152236index.aspxQuestions & Answers If an employee terminates their employment without noti... 09/13/2002National
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? 09/13/2002National
151541index.aspxQuestions & Answers Can vacation and sick time be charged to exempt employees in hourly increments (less than 8 hours)? 08/28/2002National
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