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Adjustable vacation pay rates?

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wookumus

Junior Member
What is the name of your state (only U.S. law)? Oregon
I believe that I am getting cheated out of vacation time. My employment contract gives me 3 weeks of vacation per year. However, the "value" of a day of vacation, i.e. how much I would be paid for 1 vacation day is based on the hours I have worked for the past rolling 365 days. For example, if I work 40hr/wk, 1 vacation day is worth 8hr of pay. If I work 20hr/week, 1 vacation day is worth 4hr of pay. I have had a variety of circumstances which have reduced my hours with this employer so for the past year, even though I have accumulated 3 weeks of vacation time, if I took all 3 weeks I would only be paid for 12.7 hours. So to me, 3 weeks does not equal 3 weeks and because I didn't use it when it was worth more, it's now worth almost nothing to me. Any ideas on whether this is legal?
 


cbg

I'm a Northern Girl
Since there is only one state, and that state is not Oregon, where the law dictates to the employer what rate they are to use when calculating vacation, yes, it is legal.

There is no law in ANY state that requires you be given paid vacation time at all.
 

Zigner

Senior Member, Non-Attorney
What is the name of your state (only U.S. law)? Oregon
I believe that I am getting cheated out of vacation time. My employment contract gives me 3 weeks of vacation per year. However, the "value" of a day of vacation, i.e. how much I would be paid for 1 vacation day is based on the hours I have worked for the past rolling 365 days. For example, if I work 40hr/wk, 1 vacation day is worth 8hr of pay. If I work 20hr/week, 1 vacation day is worth 4hr of pay. I have had a variety of circumstances which have reduced my hours with this employer so for the past year, even though I have accumulated 3 weeks of vacation time, if I took all 3 weeks I would only be paid for 12.7 hours. So to me, 3 weeks does not equal 3 weeks and because I didn't use it when it was worth more, it's now worth almost nothing to me. Any ideas on whether this is legal?
If that's their policy, it appears to be legal:

http://www.oregon.gov/BOLI/TA/T_FAQ_Holidaypay.shtml
 

swalsh411

Senior Member
Not only is this legal, it's also common. Under many calculation systems, hourly employees accrue leave per hour worked not "3 weeks". So for example 3 weeks a year vacation (assuming 40 hours a week) is .0577 hours vacation per hour worked.

Why do you believe you should recieve 3 full weeks of vacation when you have not been putting in a full week of work?
 

wookumus

Junior Member
Even if I had a certain number of hours of vacation time on the books 6 months ago, let's say 60hrs and now it's only 12 hours (I have not used any...unfortunately)? I understand the accumulation rates for current accruals but can they effectively take away what I have already accrued based on my previous hours worked?
 

cbg

I'm a Northern Girl
Yes. They can. Federal law has no mandates at all regarding vacation and Oregon has exactly one - that the employer honor whatever THEIR OWN POLICY is regarding the payout of vacation time at termination. As long as the above is their policy, neither Federal nor Oregon law is going to force them to change it. How the employer accrues vacation and pays it out is entirely up to them. It is not addressed by law except as already indicated.

That is going to be the answer no matter how many times you ask.
 

wookumus

Junior Member
got it, my fault for not using it while it was worth more! thanks for your quick and succinct responses.
 

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