vacation

the amount of vacation you earn each year is based on your vacation service

The amount of vacation for which you’re eligible each year is based on the number of full years of vacation service you are expected to achieve during the calendar year and your regular work schedule. 

• Refer to HR Policy 120 - Vacation (intranet) to review the view the annual vacation amount table.
• Vacation service is determined by your health and welfare eligibility service date or your time off service date, if any. (Note: Time off service date is viewable by HR only). You might have a time off service date if you have industry experience recognized upon hire.
• Experienced hires may receive credit for vacation service in increments of 5, 10, 20 or 30 years. For example, if you are hired with 9 years of directly related industry experience that Chevron recognizes, you will receive a credit of 5 years of vacation service as determined by your time off service date and policy. Therefore, at hire you will start with an annual vacation amount equivalent to 5 years.
• If you are a new hire, the vacation amount for that initial calendar year is prorated based on the number of calendar days from your start date to the last calendar day in the year.

you earn vacation each day of the calendar year

Your vacation balance shows your earned vacation hours to date. You can still take your annual vacation allowance at any time during the year, even if you haven’t earned it yet.

• If you take more vacation than you have earned, your vacation balance will show a negative amount until your accrual catches up. If you have a negative vacation balance when your employment ends, you won’t be required to pay back the unearned hours already taken.
• If you don’t take all of your vacation in the calendar year in which it is earned, any unused hours will remain in your balance the following year. Keep in mind that you are strongly encouraged to take your annual vacation each year to minimize carryover from year to year.

Local business unit approvals regarding use of vacation apply.

learn more

• Refer to HR Policy 120 - Vacation (intranet) for more details.
• Vacation daily accrual and vacation balance display in Workday
• Examples of how vacation is earned and can be taken

You are encouraged to use all of your vacation every year. There is a cap on the amount of vacation you can earn.

• The cap is equal to your annual vacation allowance plus 80 hours. 
• If you reach the cap, you won’t lose any vacation you have earned; however, you will stop earning vacation until you take enough vacation to bring your balance below the cap. Once you reduce your balance below the cap, you will begin earning vacation again. 
• Any hours you could have earned while you were at the cap will not be retroactively earned.
• See an example of how the vacation cap works

vacation allowance and cap

you may receive a vacation payout

When your employment ends, you’ll receive a vacation payout only if you have a positive total balance of earned and unused vacation as of your last day of employment. 

• Unearned vacation out of your annual vacation amount will not be paid out when you leave the company because it is not yet earned. 
• Any vacation payout would be included either in your final paycheck or in a separate check. If it’s a separate check, it will generally be cut on the same date as your final paycheck.

Any vacation payout is regarded as supplemental pay and is subject to income tax withholding in the year received. Your vacation payout is not benefit-bearing, which means:

• Medical, dental and other benefit deductions are not withheld.
• Company contributions are not applied, such as the company match to the Employee Savings Investment Plan (ESIP) or the company contribution to the health savings account (HSA).
• A vacation payout is not included in the calculation of Highest Average Earnings, so it does not influence the amount of your pension benefit.

You will continue to earn vacation daily up to your termination date according to HR Policy 120 - Vacations (intranet). Note that any use of vacation, even to vacation out, will reduce your total vacation balance.

extending your termination date with vacation ("vacation out")

If you are voluntarily terminating your employment, you may be eligible to extend your termination date using vacation ("vacation out"). This is granted at the company’s discretion, with management approval, if you meet the following eligibility requirements:

• You are at least age 50
• You have at least 10 years of health and welfare eligibility service, including five years since your last hire date.

If management approves your request to vacation out, the hours you can use to do this (your "vacation out hours”) are limited to the amount of annual vacation hours you would have earned or accrued had you worked the entire current calendar year (January to December) minus any vacation hours used in the current year. Vacation hours earned in previous years are not used to determine your vacation out hours.

As an example, to determine your vacation out hours, first determine the hours you would have earned if you worked the entire calendar year, which may equal 160, 200 or 240 hours, then subtract any vacation hours you’ve taken since January 1. Do not include any vacation hours remaining as of December 31 of the previous year.

• Examples of how vacation out hours are calculated