Human Resource Blog

Can an employer reduce accrued vacation days in Kentucky?

Can an employer who allowed employees to accrue one vacation day per month, which accrued on the 1st day of the month, modify the calculation during the month and impact that month’s accrued day off. Example: May 1st employee accrues one day, it is not yet taken as a paid day off. May 12th Employer changes calculation so that employee now is only entitled to 1/2 day per month and wants this to apply to the benefit which accured on May 1st.

I have attempted to research the KY statues but with little luck. I appreciate your input and help.

Yes, the employer can probably do this.

Like many states, Kentucky does not require that employers offer benefits like vacation pay, paid holidays, paid sick time or personal time. The state also doesn’t generally limit the restrictions that the employer can set on those benefits, if the employer chooses to offer them.

 

Employers in Kentucky must inform workers ahead of time if they change the employee’s rate of pay. But, that doesn’t necessarily apply to accrued benefits.