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Forced to use Vacation Pay to meet Guaranteed Hours Iowa

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  • Forced to use Vacation Pay to meet Guaranteed Hours Iowa

    Recently the company I work for passed a rule that the employees would have to use Paid Time Off hours to meet their scheduled hours. I'm guaranteed 76 hours per 2 week schedule as a full time employee but only receiving 73 hours per schedule. I am to receive 3 hours each schedule towards accruing vacation pay, which is in turn used to make up for the 3 hours that I do not get scheduled since each week the 3 hours that I earn towards my vacation pay I am being forced to use to meet my guaranteed scheduled hours. Is this legal? It certainly isn't right.

  • #2
    Are you exempt or non exempt?

    If non exempt, your employer is only obligated to pay you at least minimum wage for all hours worked. Your employer is not obligated to pay for any unworked time. Federal law does not address how an employer chooses to apply PTO, and only a few states have laws about PTO, mostly addressing whether it is paid out on termination or not. I am not familiar with Indiana's laws on this.

    If this is the case your employer is being more generous and paying you more per week than what you have actually worked.

    No employer anywhere, barring a CBA or other contract, is obligated to offer PTO to their employees. That your employer does, and does so to make your hours whole is very generous in this financial climate.

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    • #3
      This is legal in every state with the possible exception of CA, and quite possibly in CA too depending on the exact circumstances.

      I don't blame you for being upset and I wouldn't like it either. But it is legal.
      The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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      • #4
        That's the thing though. I want to accrue the PTO for a future vacation rather than have it used each week. I do not want it used each pay period. Is there a way to not have it used and just save it for a future time of use? I want to be able to determine when I use my PTO.

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        • #5
          Sorry, there are no laws either requiring a company to provide PTO or addressing how they apply it to current employees. This is something that is left up to the companies to address.

          Perhaps you can set aside the amount that is PTO from each paycheck and request unpaid vacation time, using the set aside money for that purpose.
          Last edited by lolcat; 09-19-2011, 09:05 AM.

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          • #6
            I understand completely, but there is no law you can invoke that will force the employer to allow you to hold the PTO for future use. How and when PTO is used, is completely up to the employer.
            The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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            • #7
              Originally posted by wrestlingmom71 View Post
              That's the thing though. I want to accrue the PTO for a future vacation rather than have it used each week. I do not want it used each pay period. Is there a way to not have it used and just save it for a future time of use? I want to be able to determine when I use my PTO.
              It's your employer's decision how it is used. What your employer is doing is
              legal. Sorry.
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