Snow Days, Yay!!! Right?

Winter weather can be unpredictable, and sometimes it forces employers to decide whether to keep the office/operations open, let people work from home, or close for the day. When you’re making that call, a few pay rules are worth keeping in mind.

Non-Exempt Employees

Non-exempt staff must be paid for every hour they work, whether they’re in the office/worksite or working from home. If the office/worksite is closed and employees don’t work at all, federal law does not require payment for missed time. Remember that “show up” or “reporting time pay” laws may apply when employees report for a scheduled shift but are sent home early, or in some cases when they haven’t show up but shifts are changed or cancelled with insufficient notice. New York requires up to four hours pay at the minimum wage some states and localities have different rules. Employers are advised to check on state and local laws. In addition, if and when the office or worksite closes early, make it clear to nonexempt staff if the full day is paid, or only the hours worked are paid or if employees have the choice or will be required to use available time off.

Exempt Employees

Exempt employees need to be paid their full salary for any week in which they perform work. If you close for part of the week, or if exempt staff work remotely for even a short time, they must receive their full weekly salary.

You can require exempt employees to use their PTO for full-day closures when no work is performed. If the employer has a PTO policy, but the employee has no PTO available, the employer may deduct full-day absences (but not less than full day absences), otherwise the employee must be paid for their full weekly salary if they perform any work during that week. If the business stays open and an exempt employee takes a full personal day with no PTO left, a full-day deduction may be allowed and make sure you are applying this consistently across the exempt staff.

Choosing Whether to Require Available Time Off

Whether employees must use available time off for weather-related closures is ultimately a business decision. It’s worth thinking about how the decision affects both operations and morale. There’s no federal requirement to pay hourly staff when weather prevents them from coming in. Flexibility helps, and to the extent you can, consider letting employees use available leave or benefits if they’re unable to report to work due to storms.

Clear, well-communicated, and consistently applied policies make these decisions a lot easier — and create a better experience for everyone.

This summary is provided for informational purposes only and is not intended to constitute legal advice nor does it create an attorney-client relationship with Rimon, P.C. or its affiliates.