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Vacation Calculation for New Employee

The first of the year is coming around but our new employee hasn’t worked for a full year yet. How is his vacation figured out?

It sounds like employees get a lump sum of vacation on the first of the year and employees are not entitled to vacation until they complete one year of service. So, any employee who doesn’t meet the service criteria would receive a prorated amount of vacation time come his anniversary date.

Let’s say employees receive 2 vacation weeks per year. Two weeks vacation per year calculates to 80 hours of vacation time (assuming employees work 8 hours a day, five days a week). Divide total number of vacation hours (80) by number of weeks in a year (52) = 1.538 hours of vacation earned per week.

An employee who was hired on February 1, 2016, for example, would be eligible to receive his vacation benefit on February 1, 2017. Since employees are given 80 hours to cover them for a full year (52 weeks), this employee would only receive a proportionate amount to cover him for 48 weeks (February 1st – December 31st).

Hours of vacation earned per week (1.538) x weeks of vacation entitlement (48) = 73.824 hours of vacation. So, the employee would receive 73.824 hours on his anniversary date to cover him for the remainder of 2017.


This entry was posted on Sunday, December 11th, 2016 at 2:07 pm and is filed under
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