Legal Question in Employment Law in California

I have over 80 hours of vacation time accrued and I was just notified that my position is being eliminated. Instead of letting me go, they are offering me an entry-level position at a salary reduction of 42%. What happens to my vacation hours? Will I be able to receive payment for them at the rate at which I accrued them?

Asked on 2/17/22, 3:00 pm

1 Answer from Attorneys

Timothy McCormick Haapala, Thompson & Abern, LLP

That's kind of tricky. If you take the time off, you will be paid at the new rate, unless you negotiate otherwise. They also can draw down that vacation at the lower rate when you use it, while you accrue new vacation at the lower rate, again unless you negotiate otherwise. If you just bank all your vacation until you are no longer an employee, those hours would have to be paid out at the old rate and any new vacation accrual at the new rate.

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Answered on 2/18/22, 10:02 am

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