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Mar27

PA Vacation Pay

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I was recently fired from my job of almost seven years. This year 2008 I had 17 days I believe of vacation time. Does my employer have to pay that to me?

There is no law in Pennsylvania that an employer must pay workers for earned vacation time upon termination. Each employer is free to establish their own policy regarding vacation payment. However, where the employer has an established policy to pay earned vacation upon termination, the Pennsylvania Department of Labor & Industry will enforce that policy. Contact the office of L&I in your area for more information. Here’s a link to their FAQs.  

Please note that this is true only of earned vacation. A number of court cases have upheld the employer’s right in Pennsylvania or other states, not to pay vacation time that the employee would not have been entitled to use, if still employed. Some employers make a distinction between “earned” and “accrued” vacation. Employees are entitled only to “earned” vacation.

Normally an employer’s vacation policy can be found in the employee handbook. If the policy states that employees won’t be paid for earned vacation upon termination, then no, the employee in Pennsylvania is not entitled to it.

This entry was posted on Thursday, March 27th, 2008 at 10:27 am and is filed under
Benefits, Compensation, Termination.
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