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PTO time

My question is. If we offer PTO based on time for earned time, i.e., an employee earns 1 hour for every 40 hours worked, and we have allowed that time to rollover, can we change that to where it does not carry over, but must be taken by the end of the year. Not sure if it is stated as to what part goes to sick leave and what part goes to vacation time. Also, we have employees that will request payment for their PTO time at anytime during the year but never take vacation, can we change that rule to read that they must take their vacation (PTO) otherwise we are paying them double.

You should first check with your state laws on “use it or lose it” rules and the laws regarding rollover. As far as the payment for PTO time in place of using the PTO time, yes you can stop that. In incense, you are paying the employee two times. For example, 52 weeks for working and two weeks for vacation. You should simply draft a policy stating that the company values the employee time off for rest and relaxation, therefore all employees must take their vacation time it will no longer be a paid out.

This entry was posted on Sunday, March 3rd, 2013 at 4:53 pm and is filed under
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