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Jul03

Unused vacation time- Arizona

Is an employer required to pay out vacation time that was not used? If an employee was terminated with cause, is the employer obligated to pay out unused vacation time? The employee handbook states that upon termination unused vacation time will be distributed according to the state law. Can you help me to figure out what that is for Arizona?
Thank you.

According to the Industrial Commission of Arizona, employers are required to pay fired workers within 3 days. Workers who quit can be paid on the next regular payday. However, the employer is not required to pay workers for unused vacation time, under state or federal law. In some cases, if the employer has a written policy or a past practice of paying vacation, the courts might enforce it.

Read more about the ICA policies at: http://www.ica.state.az.us/minimumWage/index.html

This entry was posted on Thursday, July 3rd, 2008 at 6:38 am and is filed under
Compensation.
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