If I work in 1 state for a company that’s based in another state, would my employer be required to pay me for the unused accrued PTO upon separation?

I noticed that the employee handbook states, “Upon separation of employment at no time will accrued PTO be cashed or paid out unless otherwise required under state or federal law”. Would my employer be required to pay me for the unused accrued PTO upon separation?

Asked on December 16, 2015 under Employment Labor Law, Minnesota


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

In the state your question comes from, employers only have to pay out PTO on separation from employment if there is a written employment requiring them to do so, or if the company voluntarily chooses to pay; the law does not require payment in the absence of a contract. The same goes under federal law. Therefore, unless you have contract guarantying you that your unsued PTO will be paid out on separation, they do not have to pay you.

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