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Oct23

Vacation Policy in Connecticut

We are in Connecticut and are considering changing our PTO policy to allow employees to borrow and use unaccrued time. If the employee leaves the company can the employer deduct the unaccrued portion from their paycheck?

In Connecticut, vacation time is considered to be a fringe benefit not required by law; thus, employers are free to adopt a vacation policy of their choosing. Allowing employees to borrow time is generous of employers; however, doing so creates the problem of recouping the wages for used but unaccrued time. Connecticut employers are not permitted to deduct any portion of an employee’s wages unless the employer is required or empowered to do so per state or federal law or the employer has written authorization from the employee for deductions on a form approved by the Wage and Workplace Standards Division. So, it may be less of a hassle to not allow employees to borrow vacation time.

This entry was posted on Thursday, October 23rd, 2014 at 1:27 pm and is filed under
Labor Laws.
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