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May15

MANDATORY VACATION TIME Arizona

IS THERE AN AZ LAW THAT ALLOWS EMPLOYERS TO REQUIRE THAT HOURLY EMPLOYEES ACTUALLY HAVE TO TAKE VACATION TIME IN ORDER TO RECEIVE PAYMENT FOR THEIR VACATIONS??

There is no Arizona law that prohibits you as an employer from setting such a policy.

In fact, an estimated 80% of Arizona employers have such a policy. Usually it’s for financial reasons.

Suppose Suzie is paid $500 per week. Suzie’s employer has budgeted payroll for $26,000 this year, for her services. If Suzie works 50 weeks and is paid for 2 weeks’ vacation, it costs the employer $26,000 in salary.

However, if Suzie works 52 weeks this year and is paid “in lieu of” 2 weeks of vacation,  the employer will end up paying her $27,000 in salary. That’s salary for 52 weeks, plus 2 weeks of vacation.

In fact, there is no law that requires any Arizona employer to give paid vacation, sick leave or other benefits to workers, period. So most employees are happy with whatever vacation policy they are offered.

This entry was posted on Thursday, May 15th, 2008 at 12:48 pm and is filed under
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