Tuesday, June 23, 2009

SJC clarifies Vacation as wages

The SJC in a recent ruling has made it clear that employees must be paid for earned vacation upon termination. In Electronic Data Systems vs. the Attorney General, the court ruled that chapter 149 sec. 148 "requires such an employee to be paid for unused vacation time remaining at the time of involuntary discharge..." The policy of the corporation contravened the statute. The Attorney General's office had long interpreted the statute in that way. For more information on related topics, see our page on termination, wages, as well as our page on unemployment.