If you’re an employee who is about to leave your job, it’s important to know if you live in a state where your employer is required to pay out any unused vacation time. While some states have laws that mandate payout, others leave the decision up to the employer. In this article, we will take a closer look at which states require vacation payout upon termination.
States That Require Vacation Payout
- California: Employers are required to pay employees for all vested vacation time upon termination.
- Illinois: If an employer has established a policy of paying out unused vacation, they are required to follow through with that policy upon termination.
- Massachusetts: Employers must pay employees for any accrued and unused vacation time upon termination unless the employee has been fired for cause.
- Nebraska: If an employer has established a policy of paying out unused vacation, they are required to follow through with that policy upon termination.
- Rhode Island: Employers must pay employees for any accrued and unused vacation time upon termination unless the employee has been fired for cause.
States That Leave Payout Up To The Employer
- New York: Employers can choose whether or not to pay employees for any accrued but unused vacation time upon termination.
- Pennsylvania: Employers can choose whether or not to pay employees for any accrued but unused vacation time upon termination.
- Texas: Employers can choose whether or not to pay employees for any accrued but unused vacation time upon termination.
States With No Law Regarding Payout
- Alabama
- Alaska
- Arizona
- Arkansas
- Colorado
- Connecticut
- Delaware
- Florida
- Georgia
- Hawaii
- Idaho
- Indiana
- Iowa
- Kansas
In Conclusion:
It’s important to know your rights as an employee when it comes to vacation payout upon termination. If you live in a state where payout is required, make sure your employer follows through with that requirement. If you live in a state where payout is not required, it’s up to you to negotiate with your employer if you want to be compensated for any unused vacation time.