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Employer policy determines vacation pay upon termination. If vacation has been promised in writing or verbally, then it must be paid out on separation. There is no requirement in state or federal law that requires private sector employers to provide vacation pay.
Under California law, unless otherwise stipulated by a collective bargaining agreement, whenever the employment relationship ends, for any reason whatsoever, and the employee has not used all of his or her earned and accrued vacation, the employer must pay the employee at his or her final rate of pay for all of his or ...
Eligible salaried employees earn overtime pay at a rate of 1.5 times their regular hourly rate. The state does not limit the number of overtime hours that an employee can accrue in a workweek. Further, Montana labor laws do not require employers to pay overtime to employees who work in excess of 8 hours in a day.
So called 'use it or lose it' policies are not permitted in Montana. However, caps, or maximum accumulation amounts can be instituted which effectively prevent additional vacation to accrue until existing time is utilized.
Under Montana law, ?Good cause? is defined as ? reasonable job-related grounds for dismissal based on a failure to satisfactorily perform job duties, disruption of the employer's operation, or other legitimate business reason.? MCA § 39-2-903(5).
Generally, under Montana Code Ann. § 39-3-205, an employer must immediately issue a final paycheck to a terminated employee, within four (4) hours or the end of the business day, whichever occurs first, unless the employer has a preexisting written policy to the contrary.
There are 20 U.S. states that require companies to pay out the value of an employee's unused earned paid time off (vacation time, sick leave, or both) at employment separation: California, Colorado, District of Columbia (Washington, D.C.), Illinois, Indiana, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Montana ...
In Montana, employers are not required to provide employees with vacation benefits, either paid or unpaid. If an employer chooses to provide such benefits, it must comply with the terms of its employment contract or established policy. Once an employee earns vacation leave, it cannot be forfeited for any reason.