Category Archives: Vacation or PTO

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California Court of Appeal Addresses Unlimited Vacation Policies for the First Time in McPherson v. EF Intercultural Foundation, Inc.

On April 1, 2020, the California Court of Appeal issued the first published decision addressing unlimited vacation policies under California law.  “Unlimited” vacation policies in which employees have no minimum and no maximum vacation and do not accrue any vacation time have become increasingly popular in recent years.  However, without guidance from the courts, employers … Continue Reading

California Paid Sick Leave Law Amended, Effective Immediately

On July 13, 2015, Governor Jerry Brown approved AB 304 Sick Leave: Accrual and Limitations, which amends the Healthy Workplaces, Healthy Families Act of 2014 (i.e., Sections 245.5, 246, and 247.5 of the California Labor Code).  These amendments took effect immediately upon signature.  The following is a summary of the key amendments to the law, … Continue Reading

UPDATE: New York City Council Overrides Mayor Bloomberg’s Veto And Enacts The Earned Sick Time Act Requiring Mandatory Paid Sick Leave

As previously reported, on May 8, 2013, the New York City Council, by a vote of 45-3, passed the Earned Sick Time Act (the “Sick Leave Act”). On June 7, 2013, Mayor Bloomberg vetoed the Sick Leave Act, citing a possible chilling effect on hiring. As expected, on June 27, 2013, the City Council overrode … Continue Reading

DLSE Issues Opinion Permitting Employer Deductions of Vacation and/or Sick Leave for Absences of Less Than Four Hours

On November 23, 2009, the Chief Counsel of the California Department of Industrial Relations’ Division of Labor Standards Enforcement (DLSE) issued an opinion letter stating that employers may deduct vacation and sick leave for exempt employees’ partial-day absences of less than four hours as long as consistent with the employer’s express policies. In addition, the … Continue Reading

Court Finds California Employers Can Require Exempt Employees To Use Vacation Time For Partial Day Absences

On July 21, 2005, in Conley v. Pac. Gas & Elec. (2005) __ Cal.App.4th __, 2005 WL 1693801, the First District Court of Appeal decided an issue of first impression in California wage and hour law: whether an employer’s policy of charging its exempt employees’ vacation leave banks for partial-day absences (4 hours or more) … Continue Reading

DLSE Rescinds Controversial Opinion Regarding The Ability Of Exempt Employees To Use Vacation In Partial-Day Increments

California and federal law contain overtime pay exemptions for executive, administrative and professional employees. In order to qualify as exempt, employees must meet requirements regarding their duties and salary. For example, they ordinarily must spend over half their time on exempt duties and receive a minimum amount that is paid on a “salary basis.” Currently, … Continue Reading

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