University of Minnesota  Procedure

Accruing and Using Vacation Leave

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Accrual of Vacation Leave

Faculty and academic professional and administrative (P&A) employees holding 12-month appointments that total 67 to 100 percent time accrue vacation leave. Academic vacation is prorated based on the appointment percentage and accrues on a biweekly basis at a rate of 6.769224 hours each pay period (22 days a year or 176.0 hours for 100 percent time).

Vacation accrual continues during paid leaves of absence (e.g., faculty single-semester leave or parental leave) and during both paid and unpaid portions of professional development leaves (e.g., faculty sabbatical leave). Faculty and P&A employees cannot accrue vacation leave during unpaid leaves of absence except as noted or during a disability leave portion that exceeds 33 percent. Maximum accrual at any one time for any qualifying percentage time is 27 days (216 hours) beyond which no additional vacation accrues, except under exceptional circumstances as noted under the “Deferral of Vacation Leave” section of the Procedure.

Use and Documentation of Vacation Leave

The process around vacation leave use and reporting, including any local requirements, is at the discretion of the department, given the following parameters:

  • Faculty and P&A employees schedule vacation leave at a time agreed upon with the responsible administrator/supervisor.
  • The process must assure that the vacation is reported by work weeks and whole and half day increments (e.g., 2 weeks, 1 week and 2.5 days, 0.5 days), as appropriate, not hourly. The employee is instructed to report vacation when possible in advance of when vacation leave is taken, or immediately following use, with the understanding that to delay reporting could negatively impact accrual.
  • The employee can use a very limited amount of vacation not yet accrued at the discretion of the responsible administrator/supervisor with a negative vacation balance reflected in HRMS. If the employee leaves before their balance is positive, the employee is expected to reimburse the University for the appropriate amount.

Department/division administrator should send a communication annually to faculty and P&A within the department directing them to the policy and procedures and reminding them of departmental processes and expectations with regard to use and reporting of vacation leave. This communication should include information such as any required approvals, a general reminder to use good judgment in determining time to be gone from the work place, and the mechanism to request/report vacation use.

Tracking of Vacation Leave

Vacation accrual, use, and calculated balance appear on each biweekly pay statement accessed through MyU. Balances appear in hours to align with PeopleSoft functionality. Responsible administrators/supervisors can check faculty or P&A employee vacation balances through Absence Management.

Records Management

Departments should maintain any records, manual or electronic, of vacation usage by employees for 7 years after termination of employment.

Deferral of Vacation Leave

Under exceptional circumstances, the employee may carry forward up to 27 days of accrued vacation leave for use in the next twelve months. The days not used within this time frame are then forfeited. The faculty member or P&A employee and the responsible administrator/supervisor, the department head, and the dean, academic vice chancellor, or vice president, as appropriate must agree on the number of deferred vacation days. A signed written agreement, including the rationale for deferral, must be included in the individual’s department personnel file. The employee department must manually track use of days above the 27-day maximum accrual limit and adjust the employee’s HRMS academic vacation balance by the number of days deferred so that vacation accrual continues.

Vacation Payout at Termination of University Service

Upon an employee’s termination and provided that they worked 67 up to 100 percent time for a full eleven months and was not terminated for cause, any unused vacation days up to a maximum of 22 days (176 hours) are paid out. An employee may not use vacation leave to extend the period of appointment beyond the last day of work.

Vacation Eligible Faculty and P&A Employees Assuming a Change in Appointment or Position

(Refer to Appendix: What happens to Faculty and P&A employee vacation leave balances when a change in appointment or position occurs?)

  • When vacation eligible faculty or P&A employees assume a new appointment (e.g., percentage modification or change in term of appointment) in their current position or assume a different academic position that renders them ineligible to accrue vacation leave, any unused vacation days up to a total of 22 days (176 hours) is paid out through the central fringe pool when the change becomes effective. In limited situations where there is anticipated restoration of eligibility, an individual may request from the responsible administrator/supervisor, the option to retain their vacation balance during the time their appointment is ineligible.
  • When vacation eligible faculty or P&A employees assume a non-academic vacation eligible position, any academic vacation leave balance up to a total of 22 days is transferred into the appropriate non-academic vacation plan at the time of the change. If the move is to a vacation ineligible position, any unused vacation days are paid out at the time of the change.

Moving from Civil Service or Union-Represented Staff Position to an Academic Position

When vacation eligible civil service or union-represented staff employees assume a vacation eligible academic position, their unused vacation time is transferred as an academic vacation balance, capped at the following amount:

  • For civil service: Up to 120 hours
  • For labor-represented staff: Up to 80 hours

Balances less than the above amount will be transferred in full. Any time over this cap is paid out centrally from the vacation fringe pool at the civil service/union-represented staff position pay rate.