By the Division of Banks

Credit Union Implementation Of A Mandatory Vacation Policy

No provision of Mass. Gen. Laws chapter 171 addresses credit union vacation policies. However, it has been the long-standing position of the Division of Banks that a financial institution should require mandatory vacations of two weeks or fourteen consecutive days for all employees. Such a policy is prudent and a tenet of safe and sound banking practice. The existence of such a policy is reviewed in the course of regularly scheduled examinations by the Division. Also, the absence of such a policy may be the subject of criticism of management and of the institution itself in a report of examination.