An act relating to payment of vacation leave upon separation from employment

H 295 requires Vermont employers to pay employees for unused vacation time they have earned when leaving a job, whether voluntarily or involuntarily. The bill amends state law to mandate that final wage payments include the value of accrued vacation leave, ensuring employees receive compensation for time earned but not taken. This applies to all Vermont employers and takes effect on July 1, 2025. Employees will no longer forfeit earned vacation benefits upon separation from employment.