Vacation at Termination in NY

One of our subsidiaries operates out of NY. I understand that in NY, vacation is not required to be paid out at termination, however we have it stated in our handbook that it would be.

We terminated an employee after she worked for us for 4 months. For our vacation policy, our handbooks specifically states, “After 6 months of service you will be entitled to 5 vacation days.”

If she’s not accruing vacation time between the time she started and the end of that 6-month period (i.e., if she is just given 5 days on the first day of the 7th month), then is she really entitled to anything upon termination?

I know in our situation (in IL) employees aren't able to use vacation for the first 3 months, but it starts accruing (per paycheck) as soon as the employee starts. So if they terminate prior to the 3-month service time, they are still entitled to what they've already accrued.

Comments

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  • Kansas doesn't require vacation payout either, but, like you, we have a payout policy. We accrue from day one, but per our policy employees are not eligible to use it until they have been with us for 90 days. If we hire someone and they leave before the 90 days, they don't get anything. They are not ELIGIBLE.

    Hope this helps.

    Nae
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