Can an employer withhold vacation pay for loan owed to company?

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1283794

2026-03-09 14:01

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Generally, an employer can withhold vacation pay to offset a loan owed to the company, but this depends on the employment agreement and local labor laws. Many jurisdictions have specific regulations regarding deductions from wages, including vacation pay. It's essential to consult the employment contract and applicable laws to determine if such withholding is permissible. Employees should also be informed of any deductions in advance.

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