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House Co-Sponsorship Memoranda
House of Representatives
Session of 2023 - 2024
Regular Session
MEMORANDUM
| Posted: | April 16, 2024 03:02 PM |
|---|---|
| From: | Representative Mary Jo Daley |
| To: | All House members |
| Subject: | Paid Time Off - "Use It or Lose It" |
| As you may know, “Use It or Lose It” paid time off policies prevent employees from carrying over or cashing out their paid time off after a certain period has passed, such as the end of a calendar year. While new leave may be provided to employees, under these policies, the time earned but not used is forfeited without compensation. While it may seem easy to those in some professions to just encourage workers to use their vacation and other paid time off, many employees are denied the use of leave multiple times by their supervisors. In relation, some employers place limitations on when and how vacation time is used. For example, employees in the construction industry are often told that they cannot use paid time off during the warmer months of the year, the same time of the year that their children are on summer break from school. “Use It or Lose It” policies are prohibited in California, Colorado, Montana, and Nebraska. In these states, while employers may place caps on vacation and other leave accruals, unused accrued paid time off is generally considered wages that, once earned, cannot be taken away from employees. I plan to introduce legislation that would place similar limitations on employers’ use of “Use It or Lose It” policies. Please join me in this effort to ensure that workers are entitled to all of their hard-earned wages. |