Quick Article Summary:

• Texas law doesn’t require employers to offer PTO or vacation, but once you do, you must apply your policies consistently to avoid legal issues.
• Employers should use a documented, neutral process (like “first come, first served” or rotating schedules) to approve or deny requests.
• Federal laws like the FMLA and ADA may also impact how time off is handled — especially for medical or disability-related absences.
• Inconsistent handling of time off can lead to discrimination claims, morale issues, and operational breakdowns.

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PTO in Texas: What’s Legally Required?

Texas employers are not required by law to offer paid vacation or paid time off (PTO). But once you do offer it, the Texas Workforce Commission expects you to follow your own written policy consistently. (Texas Workforce Commission – PTO Guidance)

If you revoke PTO, deny it inconsistently, or change your policy mid-way through the year without notice, you could expose your business to wage or discrimination claims — even if the PTO itself isn’t legally required.

Key Principles of Fair Time Off Management

Consistency is Key

If PTO is provided, employers must apply the policy fairly to all similarly situated employees. This means you can’t deny vacation to one person during spring break but approve another’s request for the same period without a valid reason.

Create a repeatable standard for time off approval, such as:

• First-come, first-served
• Departmental rotation
• Blackout dates during peak seasons
• Managerial discretion with documented rationale

Once this standard is established, train your supervisors and hold them to it.

Maintain a Written Policy

Every Texas business offering PTO should have a clear, written policy explaining:

• How time off is requested and approved
• When requests can be denied (e.g., scheduling conflicts, high-priority deadlines)
• What happens if multiple employees request the same days off
• How far in advance requests must be made
• Any blackout periods (like major holidays or peak seasons)

The policy should also cover whether unused PTO rolls over or is forfeited, and how PTO is handled at separation. If you pay out unused time, it becomes a wage under Texas law and must be paid upon termination. (TWC PTO Payout Info)

What About Last-Minute Requests or Emergencies?

If an employee suddenly needs time off due to illness, child care, or other personal emergencies, a rigid “no flexibility” rule can backfire. Train supervisors to handle short-notice requests with empathy but also fairness to coworkers.

Questions to ask:

• Has this employee been reliable with attendance otherwise?
• Are they exhausting PTO or always using it on Mondays?
• Can temporary coverage be arranged without harming operations?

Document every decision — especially if you deny the request.

Can You Deny PTO in Texas?

Yes — but be careful.

If your policy allows discretion, you can deny time off to ensure operational continuity, meet deadlines, or cover staffing shortages.

However, denying leave must be done:

• Consistently (same rules for everyone)
• Objectively (based on need, not favoritism)
• With documentation (record who asked, when, and why the answer was yes or no)

If an employee believes their request was denied due to race, religion, disability, gender, or another protected class, you may face a discrimination charge under Title VII.

What If It’s Medical or Disability-Related?

If an employee’s time off request relates to:

• A serious health condition
• Pregnancy or postnatal recovery
• Mental health support
• ADA accommodation

Then you may need to treat it under the FMLA, ADA, or both — depending on your company size and the situation.

For example:

• FMLA applies to businesses with 50+ employees and provides up to 12 weeks of job-protected leave.
• The ADA applies to 15+ employee workplaces and may require unpaid leave as a reasonable accommodation for a qualified disability.

Always consult with an expert Texas HR professional before denying a medically related request.

Peak Season Policies: How to Handle Holidays & Busy Periods

Retailers, clinics, and firms often have holiday rushes or busy seasons when staff absences could cause serious issues. You can create blackout periods where leave is not allowed.

Best practices:

• List these in your employee handbook or PTO policy
• Apply them consistently across all roles and departments
• Allow as much advance notice as possible
• Consider incentives (e.g., additional PTO or bonuses) for those who work during peak periods

Avoid implementing blackout dates retroactively or inconsistently — this can quickly lead to morale issues or legal risk.

PTO Best Practices Summary

✅ Do:

• Apply policies consistently across all employees
• Use a written request process (HR software, forms, email)
• Train managers to recognize ADA/FMLA implications
• Establish a clear approval system (first-come, rotation, etc.)
• Communicate blackout periods clearly and early

❌ Don’t:

• Approve time off based on favoritism
• Deny requests without explanation
• Ignore repeated unscheduled absences
• Retroactively change leave policies mid-year
• Let undocumented exceptions become norms

When Time Off Issues Become HR Headaches, Contact the Texas HR Experts at The Unit Consulting Today!

Time off disputes are one of the most common HR pain points for Texas employers — especially when there’s no HR person in-house.

That’s where we come in.

Let The Texas HR Outsourcing Firm at The Unit Consulting Help

At The Unit Consulting, we help small and mid-sized Texas businesses:

• Build consistent, legally sound PTO policies
• Train supervisors to manage requests fairly
• Navigate ADA/FMLA compliance
• Respond to employee complaints and resolve disputes

Need help managing time off issues without causing resentment or compliance risk? Call us today for a FREE assessment at 956-230-6866.