Hi,

I've been reading into the vacation pay laws, but I can't seem to find an answer to my question.
I found out that my employer is paying out vacation at the end of the year for certain employees, and not all. I am not one of those that is receiving the vacation pay out. My vacation continues to rollover each year. I'm assuming that they are paying out the exempt employees, but is it legal for my employer to pick and choose who they pay out for vacation? It just doesn't seem right for them to do so, plus there is nothing in our handbook regarding this.

Thank you in advance for your help.

The law in California does not require the payout of vacation time at the end of the year as long as it is not lost. Since you say it is being rolled over and you are not losing it, your employer is not violating any wage laws. Payout of unused vacation is only required by law when your employment terminates (regardless of voluntary or involuntary term).

They may choose who gets it paid out and who gets it rolled over as long as they do not make the decisions based on race, religion, national origin or other characteristics protected by law.

The above assumes that no binding contract or CBA specifically says otherwise.