Human Resource Manual. Section: PS
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1 Non-Unionized Employees Vacation Leave, Scheduled Days Off (SDOs) and Earned Days Off (EDOs) Entitlements, Carry-over, and Payout Provisions Date issued: Revision Date: Purpose To outline paid leave entitlements and provisions for carry-over and payouts. Policy Annual leave is important to employee wellness, productivity, and maintenance of a healthy work/life balance. The employer: encourages the scheduling of work assignments to enable employees, to the extent possible, to take vacation leave, SDOs and EDOs in the period of their choice; encourages employees to use paid leave during the fiscal year in which it is received; may direct employees to use paid leave in excess of allowable carry-over provisions; may direct the payout of previous year s accumulations and determine the amount to be paid out in the absence of an employee request for payout; will pay out accumulation of SDOs, EDOs and vacation leave beyond the established carry-over thresholds. Approvals Required Permanent Head or designate approves: the scheduling of vacation leave, SDOs and EDOs prior to commencing leave; carry-over requests; payout requests. Principles Provides out-of-scope employees with the opportunity for revitalization through taking of paid leave and access to carry-over and payout options. Provides operational flexibility in recognition that there will be times when the full leave entitlement may not be able to be taken. Provides a fiscally responsible approach to carry-over accumulation and payout. 1/6
2 Vacation Entitlements The annual fiscal year entitlement for vacation leave is as follows: Years of Service Vacation Entitlement Up to 8 3 weeks 8 to 14 4 weeks 15 to 22 5 weeks 22 or more 6 weeks Note: Employees who complete one year of service and who work in the Northern Saskatchewan Administrative District are entitled to one extra week of vacation (Special Northern Leave). Note: Employees will be eligible for vacation leave entitlements based on previous eligible service as outlined in The Public Service Regulations, 1999, Section 47.1 (see Appendix A). SDO Entitlements Permanent employees and non-permanent employees who work undefined hours on a full time basis are entitled to 12 SDOs per fiscal year; and permanent employees who work undefined hours on a variable hours basis are entitled to SDOs on a pro-rated basis. Note: Non-permanent employees, who work less than full time hours and who are paid bi-weekly based on hours worked, do not receive SDO entitlements. Their calculated hourly rate is increased to compensate for this benefit. Note: Employees working defined hours (ie. administrative support who work a 36 hour week) are eligible for 26 unpaid Earned Days Off (EDOs) per year and are not eligible for SDOs. Carry-over Provisions Employees may carry-over vacation leave, Scheduled Days Off (SDOs) and Earned Days Off (EDOs) to a combined maximum of 40 days (see attached Implementation Guidelines). Exceptions to the carry-over limit may be approved in the event of a certified illness. 2/6
3 Payout of Carry-over 1. Permanent Heads may authorize an employee request for payout of vacation leave, SDOs or EDOs carried over from the previous fiscal year at any time (minimum of 10 days per request or payout of total carry-over balance if less than 10 days). Please see attached form. 2. The combination of accumulated SDO, EDO and Vacation Leave must be reduced to 40 days by the end of the 2011/2012 fiscal year, in accordance with the Implementation Guidelines attached. 3. Carry-over in excess of 40 days, at the end of March 31, 2012 and all subsequent fiscal years, should be paid out automatically in the first quarter of the new fiscal year. Note: An employee leaving the service, who has taken more paid leave than earned, shall have such overpayment deducted from any monies owing by the Government, calculated on the basis of the salary in effect at the date of termination. Payout on Retirement Benefit Employees leaving the service upon retirement, with 35 or more years of service, shall be entitled to their full vacation entitlement for that year (taken as paid time or pay in lieu). Application All non-unionized employees appointed under The Public Service Act. Authority The Public Service Regulations, 1999, Sections 47.1 and 56 and The Labour Standards Act, Section 33 (1.1). Inquiries PSC - Human Resource Service Team 3/6
4 APPENDIX A Requests for Consideration of Previous Eligible Service for Vacation Leave Purposes The employee is responsible to inform the employer, and to provide proof, of any previous service that may affect vacation benefits prior to the year of entitlement. The Public Service Commission will receive and review enquiries regarding additional entitlements for eligible service. If additional vacation leave entitlement is approved: 1. Employees with previous Executive Government of Saskatchewan service will be granted full vacation entitlements retroactive to latest commencement of employment. 2. For eligible service with other employers, vacation credits will be provided from the current vacation year forward only. Note: All vacation leave shall be subject to the carry-over and payout provisions as per the policy. Note: When provided additional vacation as a result of previous service, employees who receive vacation pay as a percentage of their total earnings shall have their vacation pay recalculated at the appropriate percentage from the first day of the pay period following the date they became eligible for the higher vacation rate. 4/6
5 Vacation/SDO/EDO Payouts Implementation Guidelines In order to not incur a substantial year-over-year increase in individual employee annual earnings as a result of payouts of vacation and SDO carry-over payouts, carry-over requests, and authorizations are to be guided by the following parameters and examples. 1. For those employees whose current unused entitlement exceeds 40 days, reduction of leave balances to the 40 day threshold shall be managed over the period beginning in the 2009/10 fiscal year and ending with the first quarter payout in the 2012/13 fiscal year. 2. During the period subsequent to March 31, 2010 and ending June 30, 2012, the taking and payout of vacation leave and SDOs shall be directed by management such that payouts of unused entitlements not exceed 30 days annually. 3. Any carry-over in excess of 40 days as of March 31, 2012 will be paid out automatically prior to June 30, 2012, and in all subsequent years, carry-over in excess of 40 days will be reduced to 40 days through automatic payout in the first quarter of the next fiscal year. 4. During and subsequent to the 2012/13 fiscal year, Ministries are to ensure vacation and SDOs are used to the greatest extent possible, so as to ensure future payouts do not exceed 20 days per year. 5. Employees whose balances are currently within the 40 day limit shall use their annual entitlement such that any payout of unused credits, to remain within the 40 day threshold in subsequent years, does not exceed 20 days. Exception: Where an employee requests a payout of their previous year s carry-over, it is to be paid. Examples: Each Ministry is responsible to manage this, and might do so in the following manner: 1. Employees with a carryover balance between 40 and 60 days as of April 1, 2010, will have their balance reduced to 40 days through automatic payout in the first quarter of 2010/ Employees with a carryover balance between 60 and 80 days as of April 1, 2010, will have their balance reduced to 40 days through a 20 day automatic payout in the first quarter of 2010/11 and the remainder of the balance over 40 days automatically paid out in the first quarter of 2011/12. 5/6
6 3. Employees with a carryover balance between 80 and 100 days as of April 1, 2010, will have their balance reduced to 40 days through a 20 day automatic payout in the first quarters of 2010/11 and 2011/12 and the remainder of the balance over 40 days automatically paid out in the first quarter of 2012/ Those employees who have a current (2009/10 fiscal year) balance in excess of 100 days shall reduce that balance to 100 days or less, through the taking of leave, receipt of a payout, or both, prior to March 31, 2010, after which they will follow the above schedule based on the balance. Example: An employee had a carry-over balance of 70 days brought forward into fiscal 2009/10 (ie. at April 1, 2009) and uses 20 days less than their annual entitlement for 2009/10, creating a year-end balance of 90 days (left unchecked) at March 31, This balance must be reduced to a number below 70 days through payout in the first quarter of 2010/11, and further, over the next two years, the balance must be reduced to 40 days. An initial payout of 30 days would reduce the balance to 60 days. If that same employee again used 20 days less than their annual entitlement in the following fiscal year, their balance (left unchecked) would increase to 80 days. This balance must be reduced to below 60 days. Another payout of 30 days in the first quarter of 2011/12 would reduce the balance to 50 days. Continuing this trend would require another 30 day payout at the end of the 2011/12 fiscal year, reducing the balance to 40 days. 6/6
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