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| *Ostroff, Fair and Company>>>Financial Services |
Does Arizona law require employee to pay earned time off upon leaving a company? |
I left my job in April and have yet to receive a check for my earned time off that my manager said was coming. Now I am being told that Arizona doesn't have to pay you your earned time off, that it is forfeited. Is this true? I've looked at Arizona labor law (see link below), and I can't find anything that directly addresses the situation, but we can draw some conclusions from the way they treat their existing employees, with respect to paid time off. If a company has a benefit that you're allowed to get a new pair of glasses every two years, and someone quits without having gotten a new pair of glasses in the last five years, I think everyone would agree that the glasses are a foregone benefit that he didn't take advantage of. Similarly, many companies treat paid time off as a benefit. If you are entitled to two weeks vacation, and you don't use it, you lose it. In that case, it's a benefit. Other companies will allow you to accumulate paid time off. You can wait four years, then use your 8 weeks of vacation to take a trip to Europe. In that case, paid time off is an asset you own. If it's an asset, they need to pay you the earned PTO. If it's a benefit, you need to determine when your employment ended, as opposed to when you stopped working. If you stopped work on April 3, with 2 days of earned time off accumulated, you might be able to convince a court that your employment continued to April 5, and they owe you for the two days. On the other hand, many companies don't pay employees for holidays unless they work the day before and the day after the holiday. If the company has a policy like that, and the company treats PTO as a benefit, rather than a bankable asset, then you would have had to take the time off and then work another day in order for it to be due you. If they owe you the money, go after it. According to Arizona law, you're entitled to collect THREE TIMES as much as they cheated you out of. Source(s): http://www.azleg.state.az.us/arizonarevi... |
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