Can ‘my’ accumulated sick time be taken away?
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Can ‘my’ accumulated sick time be taken away?
Company bought out and new company is taking 65 of sick time already accumulated.
Asked on September 27, 2017 under Employment Labor Law, Alabama
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
The short answer is "yes":
1) If the new owner bought the assets of the old company (accounts receivable, customer list, intellectual property, equipment and/or inventory, etc.) but not the actual LLC or corporation you had previously been working for (assuming the old company was an LLC or corporation), then you are working for a new employer who happens to have purchased the name and business of the old; because you are now working for a new entity, it is not in any way bound by what the old entity had given or promised you.
2) Even if the new owner bought the old business structure or entity (LLC or corporation), sick time is not protected the same way vacation days are, since sick time is meant to be used when sick, not accumulated for the future; therefore, changes to sick leave policy and loss of sick time is generally allowed.
There are exceptions depending on precise circumstances, but most often, this is legal.
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