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February 10, 2010
Rollovers and Payoffs: Questions and Answers

In a 2010 BLR webinar, “Solving PTO Problems: How to Reduce Unscheduled Absences Without Alienating Employees or Violating the Law,” attorney Catherine Moreton Gray addressed solutions to common paid time off problems such as carryover and payoffs.

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Should employees be allowed to carry over time, and should carryover time be limited?

Gray’s advice: Encourage employees to use vacation and paid time off, and limit the total that may be carried over (but check state law).

She also advises a check of state law when determining whether—and how much—employees will be paid for accrued, unused balances on termination.

Figuring out accrued rates for carryover time is difficult, said Gray, so most employers pay at the current rate.

Catherine Moreton Gray is an associate attorney in the Labor and Employment section of Robinson & Cole LLP in Hartford, Conn. She has more than 20 years of experience in human resources and employment law. Contact her at cgray@rc.com.

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