Employers are not required by federal or state law to provide vacation benefits to their employees. The South Carolina Payment of Wages Act requires every employer with five or more employees to notify each employee in writing of the wages agreed upon. The statute specifically defines wages to include vacation. The purpose of the statute is to inform the employee of what he/she can expect in the way of compensation. The statute does not limit an employer’s right to place conditions upon the earning of vacation or any other benefit, or limit policies whereby certain employee conduct constitutes a waiver of benefits. Notice of the limits, however, must be made in writing as a part of the notice of wages agreed upon, and any changes in the terms must be made in writing at least seven days before the changes take effect.
In addition to the wage notification, any vacation policy should be in writing. The employer may condition the accrual, use, and waiver of vacation days. The sample policy contains conditions on accrual (accrues on December 31 each year) use (cannot be taken until earned, must...
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