Vacation Pay Violations

Vacation Pay Violations

In California, employers are not required to provide their employees with paid or unpaid vacation time. If, however, an employer has an established policy of providing vacation pay to its employees, then the employer must comply with certain restrictions regarding how to accomplish its obligation to provide vacation pay. 

Earned vacation time is considered wages under California law. Vacation time is earned or vests, as labor is performed. For instance, if an employee is entitled to ten (10) work days of vacation per year, after six (6) months of work, they will have earned five (5) days of vacation. Vacation pay accrues (adds up) as it is earned. Vacation pay cannot be terminated, even once the employment is terminated. Suastez v. Plastic Dress-Up Co., (1982) 31 Cal.3d 774. 

Absent a stipulation by a collective bargaining agreement, upon termination of employment all earned and unused vacation time must be paid the employee at their final pay rate. See Labor Code section 227.3.

Contact the Law Office of Catherine Chukwueke if you believe you were deprived of your vacation pay.

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