Using round numbers for simplicity.
My office has 20 days of vacation leave per year. Days that you don't use carry-over to the next year, with a maximum number of accrued dates based on years of service. When you leave the office, you are paid out 100% for the days of accrued leave you have carried over but have not used. Pretty straightforward. So let's say that after 2 years you can carry over 10, after 3 years carryover 15, after 4 years carryover 20, etc. With a maximum of 40 days accrued leave in years 8 and beyond.
Management is proposing a change. Accrued leave is being abolished and we would move to an unlimited leave policy with no leave accrual. That is perfectly legal – they can do whatever they want with policies affecting future compensation. This post is not about the change. That policy is bullshit, but is perfectly legal.
However, they are also proposing to alter the pay-out structure of accrued leave already earned by employees. Rather than pay-out 100% of accrued leave upon your departure (whenever that would be), the new plan would ask us to chose between taking a 40% payout of your accrued leave immediately or take a 33% pay-out in each of the next 3 years. If you choose the second option and leave before the 3-year timeline, you simply lose the earned compensation that would be due. They are citing budget liability for carrying the accrued leave and want to clear that off the books.
My question: Can management unilaterally change the accrued leave pay-out structure for time already served without my consent?
My understanding is that this earned compensation (past tense) and therefore can not be altered. It would be akin to deciding to remove 401k employer contributions after the fact. That compensation is earned and can not be altered.
(in Virginia)