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  1. #1
    Join Date
    Feb 2013
    Posts
    6

    Default Vacation Pay Overage

    My question involves employment and labor law for the state of: NC
    My small company was acquired in April. I am a salaried employee. I accrue vacation days by the year. January to January. I am an employee of 29 years. I took 7.25 days over what they say I had accrued from January 1.to April. I have always taken vacation days to the amount I earn a year before the year is over. The company would simply not pay me for the days I was not there, based on a daily rate. I have no contract with this company, there isn't anything written anywhere that I agree to take or accrue days per quarter or month, or to pay back anything. They sold their company with no warning to the staff and want to collect back the money they paid me for vacation days they say I had not earned. I would not have taken the days if I knew I would have to pay back the money. I have a termination and release contract that happened when the company sold. I was coerced into signing this contract, by my little company saying I would lose my job with the big new company iif I didn't sign , at the same time signing a work contract with the new big company that bought my company out. Do I have a legal obligation to pay back this vacation overage ? I have been sent 6 emails and one certified mail requesting payback. 2. The small company that wants vacation pay back, threatens with debt collection agency. If they do turn this over, will it effect my credit rating?Thank you for your answer.

  2. #2
    Join Date
    Jun 2006
    Location
    Massachusetts
    Posts
    24,219

    Default Re: Vacation Pay Overage

    What is the NEW ownership's policy on taking vacation? Did you inquire as to whether there were any changes or did you simply assume that nothing would change? (I am not asking that question to put you on the defensive - I'm simply asking for information.)

  3. #3
    Join Date
    Feb 2013
    Posts
    6

    Default Re: Vacation Pay Overage

    The new ownership's policy in taking vacation is that the employee accrues on a monthly basis. I am under contract with them.

  4. #4
    Join Date
    Jun 2006
    Location
    Massachusetts
    Posts
    24,219

    Default Re: Vacation Pay Overage

    And the second question?

  5. #5
    Join Date
    Feb 2013
    Posts
    6

    Default Re: Vacation Pay Overage

    No changes. The new company contract states days per year , no mention of accrument per month. When I take too many days these first months of the new company, they simply docked my pay, which is what the old company used to do. It is not written in the contract about accrument, I found out when I took too many days . What about the termination and release contract my former employer had me sign. One of the owners (there are six) read it to me and explained each point, that it severed everything ,all claims,between us.

  6. #6
    Join Date
    Jun 2006
    Location
    Massachusetts
    Posts
    24,219

    Default Re: Vacation Pay Overage

    You are avoiding answering the question.

    Did. You. Ask. The New. Management. If. The. Policy. Had. Changed. Or. Did. You. Simply. Assume. That. It. Had. Not.

  7. #7
    Join Date
    Feb 2013
    Posts
    6

    Default Re: Vacation Pay Overage

    I did not ask. I assumed it had not changed as to how much time I could take off. I was not suprised that they docked my pay, however. Our secretary warned me that if I took too much time, they might not pay me for the time off. It is at that time, I became aware that I had to accrue paid time off. The only knowledge I had of paid time off was in the new company contract and it only said days per year. No mention of accruement.

  8. #8
    Join Date
    Dec 2009
    Location
    Lake Chapala
    Posts
    2,982

    Default Re: Vacation Pay Overage

    90% or more employers calculate vacation time on an accrual basis. Just because you had the good fortune to work for one of the few employers that doesn't manage it this way doesn't mean all your employers have to manage it this way. Your new employer probably didn't tell you about their accrual system because everyone already knows about this system and expects it.

    Also, you say you didn't know about this accrual system - so what did you think when the secretary tried to warn you about it? How is it that her warning doesn't count?

    Finally, there is no such word as "accruement."

  9. #9
    Join Date
    Feb 2013
    Posts
    6

    Default Re: Vacation Pay Overage

    I took heed of her warning. And I accept the new company's paid time off policy, that isn't my question. I have no issues with my present employer.
    My questions are
    . 1. Do I have to pay back my former company's payment to me for time off that they say I had not earned .
    2. If they turn their claim over to a debt collector, will my credit rating be affected ?

    From Merriam-Webster dictionary...
    transitive verb
    : to accumulate or have due after a period of time <accrue vacation time>
    — ac·cru·able adjective
    — ac·crue·ment noun

    Thank you for any help or advice.

  10. #10
    Join Date
    Dec 2009
    Location
    Lake Chapala
    Posts
    2,982

    Default Re: Vacation Pay Overage

    Yes you should pay them back, if they sue you they would win. Ignorance of their practice is not a defense, especially in light of the fact that you weren't actually ignorant of said practice, you have publically admitted here that you were warned about it by a secretary.

    If you don't pay it back then yes indeedy, your credit rating will be adversely affected.

    Hope this helps!

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