Because time and money are both in short supply during the holidays, it’s no surprise that employees tend to question time off and pay issues more than usual. Here are a couple of “Can they do that?” holiday pay scenarios to consider.
Q: My company usually closes the week of Christmas and pays us for that time. It’s sort of our holiday bonus. This year, they announced that we must either use our own paid time off (PTO), or take the week off unpaid. Can they do that?
A: Yes, they can. Your company is under no obligation to pay employees during the week they’re closed. Like you said, the times you were paid before should be considered a bonus. And just like companies aren’t obligated to pay bonuses, the same applies here.
However, it does sound like they could have done a better job of communicating the reason for the change. After all it, seems like they invested in the goodwill and healthy morale of their employees for a few years, and it’s a shame to see that evaporate.
Q: I was put on the schedule and asked to work on a company-recognized paid holiday. However, they aren’t giving me any extra pay. Instead, they are giving me a comp day, which they say I must use during the same pay period. Can they make me do that?
A: Yes, they can. There is no law requiring employers to pay extra for work done during a holiday or to have any paid holidays for that matter. But -just like paid time off- paid holidays have become part of any competitive package needed to attract and retain talent, so we’ve come to expect it.
Customarily, hourly employees are paid time-and-a-half and exempt employees are given an alternative day off (which is also acceptable for hourly employees).
The fact that they want you to use that comp day in the same pay period is a little tight, but not unreasonable. Even though it may force you to take a day off when you don’t particularly want to, it was probably an accounting/business decision.
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In my experience, most employers want employees to be happy and usually have very good reasons to do things they know will be unpopular, otherwise they wouldn’t do it. However, their reluctance/discomfort/determination in doing it sometimes comes across as uncaring, when often a good straightforward explanation is all employees want to hear.
© Copyright Eva Del Rio
