Vacation Schedule
The UDA Vacation Policy (“Policy”) is designed to provide eligible employees opportunities for rest and relaxation. This Policy, effective April 1, 2022, supersedes any previous vacation policy. The Policy is administered by UDA People Operations and tracked in the Company’s HR Information System, Paycom, as the system of record for vacation accrual balances.
Eligibility and Accrual Schedule
Upon hire, full-time and part-time employees regularly scheduled to work at least 20 hours per week are eligible to accrue and request vacation time under this policy. Full-time employees are regularly scheduled to work at least 30 hours per week and accrue vacation time based on length of service. Part-time employees are regularly scheduled to work 20-29 hours per week and accrue a pro-rated portion of vacation accrual based on the multiplier of the full-time equivalent (“FTE”). For example, a part-time employee regularly scheduled to work 20 hours/week is a .5 FTE employee and accrues vacation time at a rate of .5 times the vacation accrual amount based on length of service.
Eligible employees accrue vacation on a pay period basis, earning 1/26th of their annual vacation allotment each bi-weekly pay period. The vacation accrual amount corresponds with your service anniversary date and a length-of-service timetable. Please refer to the following Length of Service Vacation Accrual Schedule for accrual amounts, based on full years of service:
Length of Service |
Vacation Accrual Amount (Full-time) |
Maximum Accrual |
Hire – 2nd year |
Accrued at a rate of 3.08 hours per pay period worked; annual equivalent of 80 hours per year. |
120 Hours |
3rd year – 10th year |
Accrued at a rate of 4.62 hours per pay period worked; annual equivalent of 120 hours per year. |
180 Hours |
11th year – 20th year |
Accrued at a rate of 6.16 hours per pay period worked; annual equivalent of 160 hours per year. |
240 Hours |
21st year+ |
Accrued at a rate of 7.7 hours per pay period worked; annual equivalent of 200 hours per year. |
300 Hours |
Maximum Accrual
Vacation accrual is limited to a maximum total number of hours as outlined above, based on length of service. Once an employee has accrued 1.5x the annual accrual allotment for their respective years of service, the employee will stop accruing additional vacation time until accrued vacation is used. Although no accrued time is lost or forfeited, additional time will not accrue once the maximum accrual is reached.
Maximum Accrual Example:
An employee with three (3) years of service is eligible to accrue 120 hours of vacation time per year. If the employee accrues enough time to reach a balance of 180 hours of vacation time, additional vacation accrual will cease to accrue until some vacation time is taken. Once the accrued balance is below 180 hours, the employee commences accruing additional vacation time. The maximum accrual applies to all employees at all lengths of service, pro-rated accordingly for part-time employees.
Procedures:
- Vacation time should be scheduled with mindfulness to adequate coverage of business operations, based on UDA business needs. From time to time, a department or function may implement a ‘blackout period’ in which vacation time will not be granted. Blackout periods will be indicated in the Paycom time off the calendar as appropriate.
- Requests for vacation time will be considered on a first-come, first-served basis, and should be submitted directly into Paycom at least fourteen (14) days ahead of the requested dates. Based on business conditions, some departments may require greater notice. Requests are reviewed and actioned (approved or denied) digitally by the employee’s direct supervisor. Generally, vacation is taken in a minimum of ½ day increments to a maximum of two weeks consecutively. Due to staffing and scheduling requirements, some departments or functions may not be able to accommodate requests of less than a full day. Vacation time requested in conjunction with a bereavement leave does not require advance approval but may be limited in duration. All requests for vacation time will be considered based upon several factors, including personal circumstances and business needs. The direct supervisor should respond to all requests for vacation time as soon as practical and within five days of submission.
- When requesting vacation time, employees should request the number of hours that correlate with their regularly scheduled shift. For example, an employee (hourly or salaried) regularly scheduled to work a 12-hour shift should request 12 hours for a full vacation day or 6 hours for a ½ vacation day. A 10-hour shift employee should request 10 hours for a full vacation day, and so on. When taken, vacation time is paid at the employee’s current, regular pay rate, excluding overtime or shift differential.
- At termination, employees with at least six months of service will receive payout of any accrued, unused vacation balance. Vacation payout at termination is generally processed with and paid as part of the departing employee’s final paycheck.
Vacation Time “Cash Out”
Once an employee has accrued at least 40 hours of vacation time, they are eligible to cash out their accrued, unused vacation balance. A cash-out request for balances of more than 40 hours may be submitted at any time. To cash out any portion of your accrued time, submit an “Ask Here” request in Paycom. Payment will be processed as soon as practical and generally on the next regularly scheduled pay date.
Transition
Employees who currently have a vacation balance that exceeds their maximum accrual eligibility will receive an initial payout of 50% of the accrual balance hours exceeding their Vacation Accrual Amount. The remaining 50% of the excess will be frozen and paid in April 2024 or at termination, whichever is sooner.
Transition Example:
On April 1, 2022, an employee with 22 years of service is eligible to accrue 200 hours per year to a maximum accrual of 300 hours. This employee’s current vacation balance is 350 hours, or 150 hours above their Vacation Accrual Amount of 200 hours. With the transition to this new Policy, the employee will receive an initial payout of 75 hours (50% of the balance exceeding their annual Vacation Accrual Amount). After this payout, their new vacation accrual balance will be 275 hours. The additional 75 hours (remaining 50% of the 150 hours) will be frozen and paid in April 2024 or at termination, whichever is sooner.
Right to modify the Policy
UDA reserves the right to administer, amend, or modify this Policy with or without notice. Policy changes are generally communicated electronically via Paycom and/or the UDA Employee Handbook. Questions regarding the Policy should be directed to People Operations.