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Nov18

Severance /Vacation pay

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I have terminated an FTE with a severance and specific terms outlined for the severance. Employee did not meet the terms set forth and consequently is not eligible for severance. I now need to send a letter outlining that to the employee; however do I have to pay unused vacation time? As employee has moved from a lay off status to a terminated status? State is Florida.

You should follow your companys usual procedure for terminating an employee. There is no requirement under federal or Florida law that employees be paid for unused vacation at termination. However, if you have a company policy or past practice of paying employees for unused vacation at termination, you should honor that policy.

Any employee who is denied a severance package is a prime candidate to file a wrongful termination suit, so you do not want to inflame the situation. However, if you have never paid any employee for vacation at termination, there is no need to start now.

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This entry was posted on Wednesday, November 18th, 2009 at 10:11 am and is filed under
Human Resources Management, Termination.
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3 Responses to “Severance /Vacation pay”

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    November 19th, 2009 at 7:22 am

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    November 19th, 2009 at 10:56 am

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    November 22nd, 2009 at 2:47 pm

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