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Vacation Accrual

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  • Vacation Accrual

    Due to the ACA we changed our definition of full time employment to 30 or more hours per week even though all of our employees are scheduled to work an average of 40 hours per week. Because we do hire some older employees I now have a couple of employees who requested to drop their hours to 30 per week so that their social security checks are not affected negatively. We managed to adjust the scheduling and were able to let them work the shorter schedule. Now my problem deals with vacation time and sick time. It's unfair for the employee working 30 hours per week to get the exact same vacation accrual as the one working 40. I can adjust the accrual rates, but here's my question: Even though I must provide insurance benefits to those employees per the ACA, may I call them something other than full time for the basis of pro-rating sick and vacation time? How about holiday pay? I know the government doesn't mandate any of those benefits, but can I call the 30 hour employee part time with insurance benefits? I am re-writing our policy and wanted to expert advice. Thank you in advance.

  • #2
    I don't see any problem with that. Full time and part time are more or less artificial constructs anyway and with the exception of the ACA requirement have no binding authority anyway..