What happens to excess vacation hours beyond the maximum accrued?

When an employee has excess vacation hours that exceed the maximum allowable accrual, these hours typically must be taken or they will be forfeited. This policy encourages employees to utilize their vacation time rather than allowing it to accumulate indefinitely. It helps prevent the situation where individuals have a large number of unused vacation hours, which can lead to retention problems or financial liabilities for the employer.

For this reason, many organizations implement a "use-it-or-lose-it" policy, which stipulates that if the maximum accrual limit is reached, any additional hours that would have been earned beyond that limit will be lost if they are not used within a certain timeframe. This approach not only promotes employee well-being through time off but also assists in effective workforce management by encouraging employees to take breaks from work.