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Court affirms deductions from exempt’s leave bank

06/20/2015

It’s long been federal policy that you may deduct partial days off from an exempt’s accrued leave time without jeopardizing that status, because partial-day deductions from accrued leave banks aren’t the same as partial-day deductions from pay, which could throw that status into doubt. Does the result change if you overlay a state wage payment law that categorizes accrued vacation as nonforfeitable wages? No, according to a California appeals court.

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