Can a private company put a cap on vacation accrual?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Can a private company put a cap on vacation accrual?
Currently, I can only accrue 180 hours of vacation leave. My question is whether a company can require me to take vacation leave or lose it if I surpass the 180 hours of leave.
Asked on July 4, 2017 under Employment Labor Law, California
Answers:
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 7 years ago | Contributor
In CA, a company can place a cap on vacation accrual. This means that once employees reaches a certain number of days, they will stop accruing vacation until they use some of their vacation. This allows their employers to maintain some control over such accrual and prevent employees from racking up unreasonable amounts of vacation time. That having been said, employers cannot have a “use-it-or-lose-it” vacation policies. Under such a policy, accrued vacation must be used by a certain date or it is forfeited. This is because accrued vacation is considered as wages earned, so a use-it-or-lose-it policy is seen as illegalan withholding wages.
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 7 years ago | Contributor
Yes, caps on vacation accrual are legal and common. Remember: there is no law requiring employers to give vacation in the first place--an employer could refuse to provide any. If they choose to allow employees to earn vacation, the employer may put reasonable limits on it, such as a maximum amount which may be accrued.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.