Can earned vacation time be taken away in IL due to a demotion?

My spouse was informed 2 weeks ago that he was being demoted and his hourly rate was being reduced significately. He received a 1 day notice. When he got his paycheck this week the company also reduced his earned vacation pay. Is that legal? He earned 95 hours vacation pay on his anniversary date in 2011 and now his paycheck only shows 80 hours available. Also if he quits will he be entitled to unemployment benefits in Illinois? His net pay has been reduced by 50% weekly.

1 answer  |  asked Feb 15, 2012 11:25 AM [EST]  |  applies to Illinois

Answers (1)

John Otto
With respect to the vacation, Illinois law is that he has to be given the vacation he has earned. I am not sure whether there is any case law on whether the employer would have to pay him at his old rate or could pay him at the reduced rate. I could see an argument either way.

If no reasonable person would be expected to keep working under the circumstances, he can get unemployment. However, the general rule is that if you voluntarily quit, you don't get unemployment. So, I would not advise anyone to quit on the hope that they would get unemployment. Jobs are too hard to come by these days, and he might wind up getting denied unemployment.

posted by John Otto  |  Feb 15, 2012 1:27 PM [EST]

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