vacation

I'm looking for suggestions on how to implement a fair and legal procedure for distributing vacation time. We have about 35 employees company wide. We are trying to use a system where one will accrue time off. Should we not use the accrue system and go to, this is how many hours or weeks you get a year if you use them too bad. Accruing allows an employee to earn vac. time each week. This may help if someone has used all of there vac. time up but may need time off in the near future so say in maybe six months the employee will have some more time saved up. Right now we issue 1 week paid vac. after one year,2 weeks after 3 years,3 weeks after 10 years. Some of our problem in the past has been inconsistency in how we issue vac. time. Do we tack on an extra week when the time comes or do we change their accruing rate 1 year early so that when the 1,3,or 10 year roles around,the vac. time will already be accrued into the employees total vac. time? If someone could share there complete policy plan on vacation time I would greatly appreciate it. Please help. Thanks for your input.

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  • Good morning Jeffrey!

    We use an accrual rate per hour paid.

    3 years or less - maximum annual accrual is 80 hours - accrual rate is .038462.
    3 years - 8 yrs. - max. annual accrual is 120 hours - accrual rate is .057692.
    8 years - 11 yrs. - max. annual accrual is 160 hours - accrual rate is .076923.
    11 years or more - max. annual accrual is 200 hours - accrual rate is .096154.

    Vacation is made available to all full-time team members who have completed 6 months of service. Team members can carry over 40 hours each year - anything over that is lost.

    FYI - for sick time, it also cannot be used until you have completed six months, and you get hours based on your month of hire:

    Jan., Feb., March - 56 hours (7 days)
    Apr., May, June - 40 hours (5 days)
    July, Aug., Sept. - 24 hours (3 days)
    October, November, December - 8 hours (1 day)

    If you don't use your sick time, you get paid at the beginning of the year for 1/2 of the hours you don't use. Example - if you weren't sick and had 56 hours, you would get paid for 28.

    Hope this helps.
  • Our agency uses a daily accrual method based on seniority. Accrual starts on date of hire, and the employee is eligible to use it once it is accrued. For the first two years, an employee earns three weeks of vacation (0.33 hours/day). Then, for three through 19 years, an employee earns four weeks of vacation (0.44 hours/day). After 20 years, the employee earns five weeks (0.55 hours/day). The daily accrual is figured by dividing the number of hours eligible (120, 160 or 200) by 365. We use ABRA software to calculate the time.

    We also offer one sick day per month with a maximum accrual of 90 days.

    For employees who work at least 30 hours but less than 40 hours per week, the amount of time is prorated.

    I used to dislike the system, but when figuring a terminated employee's time at termination, it's pretty great! It's hard to argue with a daily accrual.
  • you might want to check the BENEFITS section of the forum, it seem like I have seen a similar question to yours there.

    Our vacation benefits are as follows.
    You start earning vacation the day you go on our payroll. We do make all employees work 90 days through a temp agency before we put them on our payroll.

    For the first 5 years you earn 6.67 hours per month (10 day per year)
    after 5 years, 10.00 hours per month (15 days)
    after 10 years, 13.33 hours per month (20 days)
    after 15 years, 16.67 hours per month (25 days)
    The maximum accrual is 280 hours (35 days)

    We pay our employees every other week, so I calculate the vacation on the same schedual, so they can use what they have during that payroll. We also give sick time and personal time. I just use an excell spreadsheet to do everything on. I would be happy to share it with you if you would like.

  • In the state of Massachusetts, vacation time is counted as wages. When an employee leaves the company we need to pay them for their vacation time, therefore we accrue vacation time on a monthly basis. Employees can borrow up to 3 days in advance.

    0-5 years = 2 weeks (6.67 hours per month)
    5 years + = 3 weeks (10.0 hours per month)

    Right now we do not offer more than 3 weeks. Some employees take more time off without pay.
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