I have worked for my company for 15 years. During that time they allowed us to accumulate vacation time without limit. We have a new CFO who has changed the policy such that no more than 120 hours can be accrued. I have well over that. Is the company allowed to basically erase the time I have accrued? They said the 120 rule is effective January 1 2006, and I have over 700 hours banked with no way of using it before the end of the year. Any hope for keeping it?

LCS

Unless you have a binding, bona fide contract that specifies that you cannot lose any vacation time once earned, your employer is within their rights to change the policy. What you have described is legal in your state.

Have you talked to them about a longer period of time to work it off, or payment in lieu for at least part of it? Not that they are legally required to do so, but it couldn't hurt to ask. And, if your company has a policy of paying out accrued vacation at termination, the CFO is making a smart business decision here, even though I'm sure that isn't what you wanted to hear.