We are considering moving to a policy where we pay out part of the vacation time that employees accrue through the year. We are a billable company so we lose money when our employees aren't working, hence our consideration. I am interested in hearing from others about pros and cons to both policies. Thanks in advance!
Vacation: EOY Payout vs use or lose
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cbg
Super Moderator
In what state is this?
We would limit the number of days the person could be paid out and the expected payout would be late in the 1st quarter of the following year for everyone with available time, so constructive receipt wouldn't come into play (if I'm reading this right.) I hadn't thought about paying at a lower rate; not sure if TPTB would like that but a good thing to bring into the conversation.
Betty3
Well-Known Member
You should be ok in Ohio for this type of policy - no law against it for private employers. I "think" that is what cbg wanted to verify.
cbg
Super Moderator
It was. And I agree - in Ohio this should fly as far as that goes.
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