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Earned Vacation Time

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Submitted By lsmith236
Words 461
Pages 2
I’m not sure that I can write 300-500 words on this topic as I think it is pretty cut and dry. To the disdain of The Kroger Company I think they will have to suck the bit and pay Mr. Jennings the equivalent of 4 weeks of vacation time.
In my past experience earned vacation time is actually a portion of the employee’s wages and unless an employee handbook specifically declares the employee is not entitled to the pay/time off and that this benefit is not earned until the actual anniversary date, or any specific date designated as the earned benefit period (some companies set a January 1 date as the day everyone earns their paid time off) then the employee is earning and accruing this “wage” throughout the year leading up to the anniversary date or eared benefit period. So, someone entitled to four weeks of vacation on December 31 (Mr. Jennings anniversary) would actually be entitled to two weeks of vacation on June 30. This is much like the pro-rated formula outlined in exhibit 8-2 of the text. Using this methodology a company could have to pay a terminated employee not only his accrued “wage” toward the benefit earned period but, also any unused vacation from the previous earned benefit period.
This issue was not addressed in the minicase or in the collective bargaining agreement quoted and deserves no consideration regardless as Mr. Jennings was only one week past his anniversary date and not far enough into his next earned benefit period to have accrued any addition time off. It appears from the information provided in this minicase the company and union have established the same policy as I’ve described above as no stipulation was made that they were not entitled to the “wage” until the anniversary date. Regardless, about the answer for prorated vacation time, the statement included in their collective bargaining agreement “the standard vacation

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