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Reminder: Accrued vacation time must be paid at termination absent a written policy to the contrary.

Today’s Indiana Court of Appeals decision in Shofstall v. International Union of Painters and Allied Trades is a reminder that accrued vacation time must be paid at termination unless the employer has adopted a written policy to the contrary. Such policies are often included in employee handbooks and can preclude payment of vacation time upon termination or otherwise condition payment upon a contingency such as providing and working through a two-week notice.

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