Am I entitled to be paid for unused vacation time or receive severance pay upon termination?
A. Vacation pay, holiday pay, bonuses, sick leave and severance pay are examples of wage agreements which may be made between employers and employees as a part of the employee´s total compensation. There is no requirement to offer these benefits. Your employer is, however, required to honor any established policy or agreement relating to the payment of benefits such as accrued vacation or severance pay upon termination. If you qualify for payment of benefits under the employer´s policy, you should be paid for these upon termination. For more information, contact the Wage and Hour Division.
Vacation pay, holiday pay, sick leave, and severance pay are considered benefits and may be paid based on the employer’s policies. There is no requirement in state law to provide these benefits. If you feel you are entitled to benefits upon termination, you may pursue recovery in small claims court or through a private attorney.
Related Questions
- When employees resign -- or are discharged -- from a job, must the employer pay them for any accrued, unused vacation time?
- Is an employer required to pay an employee unused vacation or other accrued leave upon termination of employment?
- Am I entitled to be paid for unused vacation time or receive severance pay upon termination?