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Any requirement to pay out or roll over unused sick leave?

by on
in FMLA Guidelines,Human Resources,Office Management,Payroll Management

Q. Our policy provides employees with five days of paid sick leave each year. If workers do not use all this time off, are we required to pay them for that time or roll it over to the next year?

A. No. Paid sick leave is a matter of contract between employer and employee. Employers’ policies may provide that entitlement to sick leave is contingent on illness only, and that employees lose all time unused at the end of the year. It should also be noted that employees must be allowed to use a portion of their accrued leave to attend to the illness of the employee’s child, parent, spouse or domestic partner.

If an employer combines vacation, sick and other personal leave policies in a “paid time off ” program, the Division of Labor Standards Enforcement has taken the position that accrued time off is subject to the same rules that govern vacation policies. Thus, under California law, an employee’s paid time off would become “vested” once the worker has earned it; an employer may not attempt to divest or forfeit any portion of the benefits accrued.

As with vacation time, employers may establish a maximum amount of time off an employee may accumulate, after which he or she ceases to accrue additional paid time off.

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{ 2 comments… read them below or add one }

Tom Kujawa June 20, 2013 at 2:46 pm

Retiring the end of June. At will sate, TN, employer said position abloished, after 41 yrs. in Law Enforcement. May be that I’m considered to old to hold an administrative position.
Over the years, I have accumulated 3,400 hrs. in sicktime. Also did not use all the vacation days I accumulated. The county put a cap on the amt. of vacation hrs. I can accumulate and all over rolled into sick time.
As I am retiring, I requested the number of vacation hours that rolled into sick time. Got reply of 393 since 2006 and they couldn’t research any further back.
Calculation was amde as to the hourly rate per year, Number of hours per year and total amount I would be owed after asking that the hours rolled into sick time be rolled back into vacation time.
I’m expecting that that my request will be denied.

Anmyone that has had this same problem before with better results, please contact me with how it was accomplished.
Thanks, CPT Tom Kujawa
hypnocop73@gmail.com

Reply

Brandon March 27, 2013 at 11:29 pm

My company rolls over unused (and accrued) vacation time to my sick time balance at the end of each year. If my employment terminates with my company, are they still required to pay me for the unused, and accrued vacation time that rolled into my sick balance?

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