Vacation Pay: Optional or Mandatory?

1428638_61478545An employee leaves without giving any advance notice.  Are you required to compensate that employee for unused vacation and personal time?

You are not required under any federal or state laws to offer vacation or personal time off benefits, with or without pay. (Note: Some cities and states do require paid sick leave). But if you offer vacation time with pay, sick leave with pay and/or paid time off (PTO), you need to be aware of possible regulations in your state regarding compensation.

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